HB 23-1015

House Bill 23-1015 in Colorado updates the state's rules for taxing tobacco products sold online or through other remote methods. It specifically excludes cigar and pipe tobacco sales from certain tax categories, creating a new category called "remote retail sale" that applies to these items. The bill also clarifies how to determine the price of tobacco products for tax purposes. This law was signed by the governor on May 1, 2023, but it won't take effect until January 1, 2024. When it does go into effect, it will impact online retailers and consumers who buy cigars or pipe tobacco remotely.

Official Summary

The act categorizes the remote sales of certain kinds of tobacco products for purposes of establishing the regulation and taxation of the sales. The act exempts transactions involving the sale of cigars or pipe tobacco from the definition of "delivery sale" and instead creates and defines the term "remote retail sale" to include these transactions. The act also resolves an ambiguity about how the "manufacturer's list price" of a tobacco product is determined for both "delivery sales" and "remote retail sales". APPROVED by Governor May 1, 2023 EFFECTIVE January 1, 2024 NOTE: This act was passed without a safety clause. (Note: This summary applies to this bill as enacted.)

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