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ESSB 6129

In Committee

Senate

Cigarettes, nicotine/tax

Concerning the taxation of cigarettes and other nicotine products. (REVISED FOR ENGROSSED: Concerning the taxation of cigarettes, vapor products, and other products containing tobacco or nicotine.)

  1. Introduced (completed)
  2. 2
    Committee (current stage)
  3. 3
    Floor Vote (not started)
  4. 4
    Opposite Chamber (not started)
  5. 5
    Governor (not started)
  6. 6
    Signed (not started)

This status may be delayed. See Action History below for the latest updates.

How does a bill become law?
  1. Introduced: The bill is filed and assigned a number.
  2. Committee: A subject-matter committee holds hearings, takes public testimony, and decides whether to advance the bill.
  3. Floor Vote: The full chamber (House or Senate) debates and votes on the bill.
  4. Opposite Chamber: The bill repeats the committee and floor vote process in the other chamber.
  5. Governor: The Governor reviews the bill and decides whether to sign or veto it.
  6. Signed: The bill has been signed into law.
Introduced: February 18, 2026
Last Action: March 12, 2026
Status: S Rules 3
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AI Analysis

This analysis was generated by AI and may contain errors. It is not legal advice. Always refer to the official bill text for authoritative information.
People & CommunitiesBalancedCorporate & Wealthy Interests

This bill overhauls Washington’s taxation and regulation of nicotine products—including cigarettes, cigars, vapor products, and smokeless tobacco—by consolidating existing laws under a new chapter 82.26 RCW. It raises cigarette and nicotine product taxes, creates new taxes on flavored products, and redirects vapor product tax revenue to cancer research and public health programs. It also strengthens licensing, recordkeeping, and enforcement requirements, and opens the door for new tribal tax compacts.

  • Consolidates and expands the state’s nicotine product tax framework under chapter 82.26 RCW, replacing the prior vapor product tax chapter (82.25 RCW) and applying similar rules to all nicotine products—including vapor products, cigars, and smokeless tobacco—except cigarettes and FDA-approved cessation products.
  • Increases cigarette taxes by adding a new $0.09875-per-cigarette tax (effective 2028, inflation-adjusted every 4 years) and a new $0.025-per-flavored-cigarette tax.
  • Imposes a 10% additional tax on all flavored nicotine products (including flavored vapor products), on top of the base 90% tax on all nicotine products.
  • Requires distributors and retailers to obtain licenses, keep detailed invoices and records for five years, and comply with strict inspection and enforcement rules—including criminal penalties for unlicensed activity and seizure/forfeiture of contraband products.
  • Directs vapor product tax revenue to dedicated accounts: up to $10 million annually to the Andy Hill Cancer Research Endowment Fund and up to $20 million annually to the Foundational Public Health Services Account, with remaining funds to the state general fund.
  • Authorizes the governor to negotiate new tribal tax compacts requiring tribes to impose matching taxes on flavored cigarettes and flavored nicotine products.

Who is affected

  • Nicotine product distributors and retailers — Distributors and retailers of nicotine products (including vapor products) must obtain new licenses under chapter 82.26 RCW, maintain detailed sales and purchase records for five years, and comply with new invoice and inspection requirements.
  • Consumers of nicotine products — Consumers may face higher prices due to increased taxes on nicotine products, especially flavored products, and stricter enforcement may reduce product availability in some settings.
  • State health and research programs — The Andy Hill Cancer Research Endowment Fund and the newly created Foundational Public Health Services Account will receive dedicated funding from vapor product taxes, supporting cancer research and public health initiatives.
  • Federally recognized Indian tribes — Federally recognized tribes and tribal members conducting business within Indian country are excluded from certain tax and licensing requirements, and the bill authorizes new tribal tax compact negotiations.
  • Online and mail-order vapor product sellers — Delivery sellers (e.g., online or mail-order vendors) must implement strict age and identity verification, collect customer information, and follow new packaging and shipping rules to comply with licensing and enforcement provisions.
Effective: 2027-07-01Fiscal impact: The bill increases state revenue through higher cigarette and nicotine product taxes. Specifically, a new $0.09875-per-cigarette tax begins in 2028 and is adjusted for inflation every 4 years; a new $0.025-per-flavored-cigarette tax begins immediately. For vapor products, 50% of tax revenue up to $10 million goes to the Andy Hill Cancer Research Endowment Fund, and up to $20 million more goes to the Foundational Public Health Services Account annually (with inflation adjustments starting in 2029); remaining vapor product tax revenue goes to the state general fund.
Model: Intel/Qwen3-Coder-Next-int4-AutoRoundGenerated: Mar 19, 2026, 9:41 PM

Pro/Con Analysis

Potential Benefits (4)

  • Vapor product tax revenue is directed to the Andy Hill Cancer Research Endowment Fund and the Foundational Public Health Services Account, providing dedicated funding for cancer research and public health initiatives that benefit the general population.

    HealthcarePeopleRef: Sec. 103 (New Section in Chapter 82.26 RCW) and Sec. 401 (RCW 43.348.080 amendment)

  • Higher taxes on flavored nicotine products, particularly those appealing to youth, are intended to reduce youth initiation and use, thereby improving long-term public health outcomes and reducing healthcare costs associated with nicotine addiction.

    Public SafetyPeopleRef: Sec. 102 (RCW 82.26.020 amendment)

  • Strengthened recordkeeping and inspection requirements for distributors and retailers help ensure that nicotine products are sold only to licensed entities, reducing the risk of illicit sales to minors and improving overall market integrity.

    Public SafetyPeopleRef: Sec. 106 (RCW 82.26.060 amendment) and Sec. 108 (RCW 82.26.080 amendment)

  • Strict age and identity verification requirements for online and mail-order vapor product sales reduce the likelihood of minors accessing these products through digital channels, enhancing consumer protection.

    Public SafetyLean peopleRef: Sec. 124 (RCW 70.345.090 amendment)
Potential Concerns (4)

  • The bill imposes a new $0.09875 per-cigarette tax and a $0.025 per-flavored-cigarette tax, which will likely be passed on to consumers, increasing the cost of smoking for everyday Washingtonians who purchase these products.

    FinancialRef: Sec. 202 (RCW 82.24.020 amendment) and Sec. 203 (RCW 82.24.026 amendment)

  • The 90% tax on all nicotine products and an additional 10% tax on flavored products significantly raises prices for vapor and smokeless tobacco users, disproportionately affecting lower-income consumers who may be more price-sensitive.

    FinancialLean industryRef: Sec. 102 (RCW 82.26.020 amendment)

  • New licensing fees ($650 for distributors, $115 for additional locations) and strict recordkeeping requirements increase compliance costs for small retailers and distributors, potentially burdening mom-and-pop shops that sell nicotine products.

    Business & EmploymentLean industryRef: Sec. 115 (RCW 82.26.160 amendment) and Sec. 116 (RCW 82.26.190 amendment)

  • The bill authorizes seizure and forfeiture of vehicles and property used to transport unlicensed nicotine products, which could result in the loss of assets for individuals or small businesses involved in minor or inadvertent violations.

    Public SafetyLean industryRef: Sec. 120 (RCW 82.26.230 amendment) and Sec. 121 (RCW 82.26.240 amendment)

Who Is Most Affected

  • Small retailers and distributors of nicotine productsNegative Impact

    They face increased compliance costs, licensing fees, and recordkeeping burdens, which may reduce margins for small businesses.

  • Public health and cancer research organizationsPositive Impact

    They benefit from dedicated funding for cancer research and public health services, which can improve healthcare outcomes and reduce long-term healthcare costs.

  • Consumers of nicotine productsMixed Impact

    They face higher prices for nicotine products, which may reduce consumption but also increase personal expenses for those who continue to use these products.

  • Federally recognized Indian tribesMixed Impact

    They are excluded from certain tax and licensing requirements, and the bill authorizes new tribal tax compact negotiations, which may affect their economic interests.

  • Online and mail-order vapor product sellersNegative Impact

    They must implement strict age and identity verification, collect customer information, and follow new packaging and shipping rules, increasing operational complexity and costs.