TT-1 – New cigarette manufacturer license and warehouse permit
What manufacturers must know about new licensing, storage permits, and tax security requirements
Maryland law created new licensing requirements for cigarette manufacturers and storage warehouses, and this guidance explains what licenses are required, how they work, and the additional tax security obligations businesses must meet.
What you need to know
- Cigarette manufacturers must obtain a new license
- Storage warehouses require a separate permit
- Licenses expire annually on April 30
- Tax security (bond or equivalent) is required for certain license holders
Who This Applies To
This guidance applies to:
- Cigarette manufacturers
- Wholesalers and sub-wholesalers
- Vending machine operators
- Warehouse operators storing unstamped cigarettes
New Manufacturer License Requirement
Maryland law now requires:
- All cigarette manufacturers to obtain a manufacturer license
This license allows manufacturers to:
- Operate legally in Maryland
- Store unstamped cigarettes in approved facilities
Cigarette Storage Warehouse Permit
A separate permit is required to:
- Operate a warehouse storing unstamped cigarettes
This permit:
- Applies to facilities storing cigarettes on behalf of manufacturers
- Must be renewed annually
License Term and Fees
Both the manufacturer license and warehouse permit:
- Expire on April 30 each year
Fees include:
- Initial application fee and annual license or permit fee
- Renewal fee for subsequent years
License Enforcement Authority
The law clarifies that:
- Licenses may be suspended or revoked for violations
Violations may include:
- Business Regulation Article violations
- Tax General Article violations
- Cigarette regulation violations
Offer of Compromise
The Comptroller may:
- Accept a monetary penalty instead of license suspension or revocation
This allows:
- Resolution of violations without losing the license
Tax Security Requirement
Certain license holders must:
- File a tax security (typically a bond)
This applies to:
- Manufacturers
- Wholesalers
- Sub-wholesalers
- Vending machine operators
The required amount:
- Is based on monthly tax liability thresholds
What This Means for Businesses
Businesses should:
- Apply for required licenses before operating
- Ensure warehouse operations are properly permitted
- File required tax security
- Maintain compliance to avoid suspension or penalties
Important Notes
- Licensing is required before conducting business
- Warehouse storage of unstamped cigarettes requires a permit
- Tax security must be filed by applicable license holders
Need Help?
For questions about licensing:
410-260-7327