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Kentucky to Issue Temporary Licenses for Tobacco, Nicotine, and Vape Retailers

Kentucky to Issue Temporary Licenses for Tobacco, Nicotine, and Vape Retailers

Kentucky will issue temporary state licenses to tobacco, nicotine, and vape businesses that apply before January 1, 2026, allowing them to continue operating while their full license applications are under review. The temporary licenses will expire once the applications are processed.

Key Points at a Glance

  • Temporary License Eligibility: Tobacco, nicotine, and vape product retailers who submit a license application to the ABC before January 1, 2026.
  • Validity Rules: Allows continued operation during the full license review process; expires once the pending application is processed.
  • Deadline: No temporary licenses will be issued after January 1, 2026.
  • Policy Basis: Senate Bill S.B. 100 establishes annual state licensing and strengthens enforcement.
  • Enforcement and Services: New complaint investigation team, routine and surprise compliance checks, increased fines and penalties; applications submitted only through the ABC online licensing portal.

Temporary License Policy and Application Deadline

December 31, 2025 – According to the Lane Report, Kentucky will issue temporary state licenses to tobacco, nicotine, and vape product retailers who submit a license application to the Alcohol Beverage Control (ABC) before January 1, 2026. The temporary licenses will allow businesses to continue operating while their full license applications are under review and will expire once the pending applications are processed.

Senate Bill 100 Establishes New Licensing Framework

Senate Bill S.B. 100 established new licensing requirements for retailers of tobacco, nicotine, and vape products and strengthened enforcement to ensure that only products legal in Kentucky are sold within the state. The ABC expects to issue more than 4,000 new licenses by the end of 2025.

Governor’s Statement on Youth Protection and Business Support

Kentucky Governor Andy Beshear stated that he signed S.B. 100 into law to help ensure that harmful tobacco and vape products are not marketed and sold to children. During the transition period, he emphasized his commitment to supporting businesses that are also committed to selling legal products.

Emergency Regulation to Protect Applicants During Review Period

Governor Beshear noted that the temporary licenses will allow compliant businesses to continue operating during the licensing process while steps are taken to protect Kentucky’s children. On December 29, 2025, the department submitted an emergency regulation to ensure that retailers who applied for a license before January 1, 2026, would not be penalized while the department conducted a comprehensive review of each application.

ABC Warning on January 1, 2026 Cutoff

ABC urged tobacco and vape product retailers who had not yet obtained a license to act quickly, noting that no temporary licenses would be issued after the January 1, 2026 deadline.

New Online Licensing System and Business Support Measures

To assist businesses in obtaining the new licenses established by S.B. 100, ABC officials implemented a new online licensing system and streamlined the application process. The department stated that it will continue to work closely with businesses that need assistance with the application portal or clarification on licensing requirements, and has proactively engaged with business groups to explain the new rules.

Strengthened Enforcement Measures Under S.B. 100

Notably, on March 24, 2025, Governor Beshear signed S.B. 100 into law, requiring all tobacco, nicotine, and vape product retailers to obtain an annual state license through ABC. The law also strengthens enforcement by establishing a new team to investigate consumer complaints, dedicating a portion of collected fines to youth vape prevention efforts, conducting routine and unannounced compliance checks, and increasing fines and penalties for violations, including possible license revocation and criminal penalties for unlicensed sales.

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