The California Department of Tax and Fee Administration (CDTFA) issued Special Notice L-1021 announcing that the fee to obtain or renew a cigarette and tobacco products retailer license increased from $265 to $450 per retail location for all applications filed on or after July 1, 2026. This change was mandated by AB 573 (Stats. 2025, ch. 269), which amended the Licensing Act after lawmakers determined that the previous licensing fee no longer covered the growing costs of administering and enforcing California’s tobacco retailer licensing program. The additional revenue will help support retailer inspections and enforcement of state tobacco laws. CDTFA may further adjust the fee up to $600 by regulation to cover program administration costs.
Read California’s special notice here: https://cdtfa.ca.gov/formspubs/L1021.pdf
