Rhode Island SB 3005: AN ACT RELATING TO TAXATION -- CIGARETTE, OTHER TOBACCO PRODUCTS, AND ELECTRONIC NICOTINE-DELIVERY SYSTEM PRODUCTS

Bill Text

2026 -- S 3005 SUBSTITUTE A
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LC004717/SUB A
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S T A T E O F R H O D E I S L A N D
IN GENERAL ASSEMBLY
JANUARY SESSION, A.D. 2026
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A N A C T
RELATING TO TAXATION -- CIGARETTE, OTHER TOBACCO PRODUCTS, AND
ELECTRONIC NICOTINE-DELIVERY SYSTEM PRODUCTS
Introduced By: Senators Ciccone, DiPalma, and Raptakis
Date Introduced: March 04, 2026
Referred To: Senate Special Legislation and Veterans Affairs

It is enacted by the General Assembly as follows:
SECTION 1. Sections 44-20-1, 44-20-4.1 and 44-20-8.2 of the General Laws in Chapter 1
44-20 entitled "Cigarette, Other Tobacco Products, and Electronic Nicotine-Delivery System 2
Products" are hereby amended to read as follows: 3
44-20-1. Definitions. 4
Whenever used in this chapter, unless the context requires otherwise: 5
(1) “Administrator” means the tax administrator. 6
(2) “Cigarettes” means and includes any cigarettes suitable for smoking in cigarette form, 7
“heat not burn products,” and each sheet of cigarette rolling paper, including but not limited to, 8
paper made into a hollow cylinder or cone, made with paper or any other material, with or without 9
a filter suitable for use in making cigarettes. 10
(3) “Dealer” means any person whether located within or outside of this state, who sells or 11
distributes cigarettes and/or other tobacco products and/or electronic nicotine-delivery system 12
products to a consumer in this state. 13
(4) “Distributor” means any person: 14
(i) Whether located within or outside of this state, other than a dealer, who sells or 15
distributes cigarettes and/or other tobacco products and/or electronic nicotine-delivery system 16
products within or into this state. Such term shall not include any cigarette or other tobacco product 17
manufacturer, export warehouse proprietor, or importer with a valid permit under 26 U.S.C. § 5712, 18

LC004717/SUB A - Page 2 of 7
if such person sells or distributes cigarettes and/or other tobacco products and/or electronic 1
nicotine-delivery system products in this state only to licensed distributors, or to an export 2
warehouse proprietor or another manufacturer with a valid permit under 26 U.S.C. § 5712; 3
(ii) Selling cigarettes and/or other tobacco products and/or electronic nicotine-delivery 4
system products directly to purchasers in this state by means of at least twenty-five (25) vending 5
machines; 6
(iii) Engaged in this state in the business of manufacturing cigarettes and/or other tobacco 7
products and/or electronic nicotine-delivery system products or any person engaged in the business 8
of selling cigarettes and/or other tobacco products and/or electronic nicotine-delivery system 9
products to dealers, or to other persons, for the purpose of resale only; provided, that seventy-five 10
percent (75%) of all cigarettes and/or other tobacco products and/or electronic nicotine-delivery 11
system products sold by that person in this state are sold to dealers or other persons for resale and 12
selling cigarettes and/or other tobacco products and/or electronic nicotine-delivery system products 13
directly to at least forty (40) dealers or other persons for resale; or 14
(iv) Maintaining one or more regular places of business in this state for that purpose; 15
provided, that seventy-five percent (75%) of the sold cigarettes and/or other tobacco products 16
and/or electronic nicotine-delivery system products are purchased directly from the manufacturer 17
and selling cigarettes and/or other tobacco products and/or electronic nicotine-delivery system 18
products directly to at least forty (40) dealers or other persons for resale; or 19
(v) Engaged in this state as a dealer and whose annual business sales of cigars are greater 20
than fifty percent (50%) of their sales. 21
(5) “Electronic nicotine-delivery system” means an electronic device that may be used to 22
simulate smoking in the delivery of nicotine or other substance to a person inhaling from the device, 23
and includes, but is not limited to, an electronic cigarette, electronic cigar, electronic cigarillo, 24
electronic little cigars, electronic pipe, electronic hookah, e-liquids, e-liquid products, or any related 25
device and any cartridge or other component of such device. 26
(6) “Electronic nicotine-delivery system products” means any combination of electronic 27
nicotine-delivery system and/or e-liquid and/or any derivative thereof, and/or any e-liquid 28
container. Electronic nicotine-delivery system products shall include hemp-derived consumable 29
CBD products as defined in § 2-26-3. 30
(7) “E-liquid” and “e-liquid products” mean any liquid or substance placed in or sold for 31
use in an electronic nicotine-delivery system that generally utilizes a heating element that 32
aerosolizes, vaporizes, or combusts a liquid or other substance containing nicotine or nicotine 33
derivative: 34

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(i) Whether the liquid or substance contains nicotine or a nicotine derivative; or 1
(ii