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Significant changes to the regulation of tobacco sales will soon come into effect in Victoria. If you are a wholesaler or retailer selling tobacco-related products, it's essential to understand your legal position and obligations.
A New Licensing Regime
With rising concerns over illegal tobacco sales and public health, the Tobacco Amendment (Tobacco Retailer and Wholesaler Licensing Scheme) Act 2024 (Vic) introduced a comprehensive licensing scheme for retailers and wholesalers of tobacco products. This is aimed at having Victoria's tobacco regulations keep in line with other Australian States and Territories, who all mandate licences for the selling of tobacco products.
From 1 July 2025, wholesalers and retailers must apply to the Victorian Government for a tobacco licence. It will be an offence under the Tobacco Act 1987 (Vic) 2024 to sell tobacco products without a valid licence from 1 February 2026 onwards. This applies not only to bricks-and-mortar shops but also to online and mobile vendors operating within Victoria.
Under the new regime:
- Retailers must obtain a licence for each premises where tobacco is sold. Wholesalers must be licensed to distribute or supply tobacco products.
- Applications for renewals of a licence must be made each financial year
- Annual licence fees apply, and licensees must comply with new record-keeping and reporting requirements.
A licence can be varied, suspended, cancelled, relocated or transferred, upon application.
The legislative scheme also provides for a number of broad ranging enforcement mechanisms. One example is appointed 'Inspectors' having the power to enter, inspect, monitor compliance with a licence and investigate any potential breaches of a licence, if there are reasonable grounds for doing so. This can be carried out through consent of the occupied owner or via a warrant.
Inspectors can also seize items or documents in connection with an investigation.
Relevant Offences and Penalties
If you sell tobacco without a licence in Victoria, you may face serious criminal penalties under the new licensing scheme in the Tobacco Act 1987 (Vic).
Key Offences Include:
| Offence | Penalty (Individuals) | Penalty (Businesses) |
|---|---|---|
| Selling tobacco products without a licence | Up to five years' imprisonment or 840 penalty units | Up to 4,200 penalty units |
| Selling tobacco products except in accordance with a licence | Up to 60 penalty units | Up to 300 penalty units |
| False or misleading statements in connection with licensing | Up to 60 penalty units | Up to 600 penalty units |
There are also various offences relating to obstructing or hindering inspectors carrying out their lawful duties, all carrying maximum penalties involving significant financial penalties.
Legal Exposure: Are You at Risk?
Many small retailers, online providers and convenience store owners have inadvertently found themselves on the wrong side of the law. Legal exposure can arise even if:
- You were unaware a licence was required;
- You took over a business that previously sold tobacco without ensuring the new licence was in place;
- You relocated your business to a new premises without applying to relocate your licence
- You sell items mistakenly assuming they are exempt.
At Doogue + George Defence Lawyers, we've seen cases where clients were unaware they had committed a criminal offence and had otherwise lived law-abiding lives, until their premises were inspected by an investigating officer triggering the issuing of serious criminal charges.
How We Can Help
If you are being investigated or have been charged, early legal advice is critical. There may be a number of potential legal defences that apply to your case that we can commence preparing at the outset.
At Doogue + George, we have a dedicated team of criminal defence lawyers experienced in regulatory offences and business-related prosecutions. We assist clients in:
- Responding to charges under the Tobacco Act 1987 (Vic);
- Carefully reviewing the lawfulness of any arrest, investigation or seizure of property
- Preparing for court hearings and conducting extensive negotiations with prosecutors;
- Challenging the admissibility of evidence or severity of penalties;
- Minimising reputational and financial damage to your business.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
