​Measure 108 information

Oregon voters are voting on Measure 108, which, if upheld, would make the following changes to the Tobacco Tax Program:

  • Little cigars, collectively weighing less than 3 pounds per 1,000 will be taxed as cigarettes, require an Oregon cigarette tax stamp, and must be sold in sealed packages of at least 20.
  • Inhalant delivery systems, such as vaping and e-cigarette products, will be taxed at a rate of 65 percent of the wholesale purchase price.
  • The cap on cigars increases from $0.50 to $1.

Read more about these changes​.

The department is proposing administrative rules in the fall rulemaking process to implement these changes. You can read the draft rules. If you have feedback, please email us at​.

​​​​​​Current tobacco tax rates

  • Cigars – 65 percent of the wholesale sales price. The maximum tax is $0.50 per cigar.
  • Moist Snuff – $1.78 per ounce. The minimum tax is $2.14 per retail container.
  • All other tobacco products – 65 percent of the wholesale sales price. 

Tobacco products include: cigars, smokeless tobacco (snuff, chewing tobacco, SNUS, dissolvables containing tobacco, etc.), blunt wraps, pipe tobacco, shisha, roll-your-own, and any other kinds and forms of tobacco that can be chewed or smoked, except cigarettes.

Check out our cigarette tax overview to read more about Oregon’s cigarette tax laws.

Moist snuff includes any form of tobacco that is not intended to be smoked or placed in the nasal cavity.


If you buy untaxed tobacco products then you are responsible for paying the tax, whether you are a business or have purchased the tobacco products for personal use.

Licensed distr​ibutors

You must file an Oregon Quarterly Tax Return for Tobacco Distributors, Form 530, even if there was no activity during the reporting period. We may require distributors to post security in the form of a surety bond to ensure compliance with the tobacco tax laws. If a bond is required, you must complete an Oregon Other Tobacco Products Tax Bond form. Read more about the licensing process


You must file an Oregon Quarterly Tax Return for Manufacturers Distributing Nonexempt Tobacco Products, Form 532, for each quarter that you distribute non-exempt tobacco products in Oregon.


You must purchase tobacco products from licensed Oregon distributors who have paid the tax. If you want to purchase untaxed tobacco products and sell them to customers in Oregon, you must apply for a distributor's license. Click here for a list of the currently licensed Oregon distributors.

You must keep receipts and invoices for tobacco products for 5 years, or until the products are sold, whichever is longer. Receipts and invoices must be available for inspection by us. Read more about the inspection process


If you purchase untaxed tobacco products, you’re responsible for paying the tax. You must file an Oregon Unlicensed Tobacco Quarterly Tax Return, Form 531, for every quarter you purchase untaxed tobacco products.


You must apply for a Permit for Transportation of Untaxed Tobacco Products to possess, acquire for transportation, or transport untaxed tobacco products in Oregon. You can complete and submit an application for a Permit for Transportation of Untaxed Tobacco Products electronically using Revenue Online

Distri​butor license

You need an Oregon Distributor License before distributing tobacco products in Oregon. You must be licensed for each location where you sell tobacco products. Distributor licenses are non-transferable. Read more about the licensing process.

Penalty and interest

We’ll charge a penalty of 5 percent of the amount due for any failure to file a report or return or failure to pay the tax by the due date. If the amount due isn’t paid within 30 days, we’ll charge an additional 20 percent penalty. Interest is added to any unpaid amount, calculated from the time the tax becomes due. Interest will be at the rate established under Oregon law. Additionally, you may be subject to a civil penalty of up to $1,000 per violation of state other tobacco products tax laws.

​Manage your tax account

Make payments, check balances, view notices, and more with Revenue Online.

Go to Revenue Online

Contact us

Phone: ​503-945-8120.
​Tip line: 503-947-2106 or 866-840-2740.
Mailing Address:

​Other Tobacco Products Tax
Oregon Department of Revenue
PO Box 14630
Salem OR 97309-5050

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