Kentucky to issue provisional state licenses to tobacco, nicotine and vapor retailers who applied before Jan. 1, 2026

Key points 

•Provisional license eligibility: retailers applying through ABC before Jan. 1, 2026

• Validity: allows continued operations while full licensure is reviewed; expires when the pending application is acted on

• Deadline: no provisional licenses issued after Jan. 1, 2026

• Legal basis: S.B. 100 establishes annual licensing and strengthens enforcement

• Enforcement and support: new complaint-investigation team; routine and unannounced compliance checks; higher fines and penalties; applications only via ABC Online Licensing Portal

2Firsts, December 31, 2025 – According to the Lane Report, provisional state licenses will be issued to tobacco, nicotine and vapor product retailers who have applied for a license from the Department of Alcoholic Beverage Control (ABC) before Jan. 1, 2026. The provisional license will allow a business to continue operations while an application for full licensure is being reviewed and will expire once action is taken on the pending application.

The report said Senate Bill 100 created a new licensing requirement for tobacco, nicotine and vapor product retailers and strengthened enforcement to ensure only products legal in Kentucky are being sold. ABC expects to issue over 4,000 new licenses to tobacco, nicotine and vapor product retailers by the end of 2025.

Gov. Andy Beshear said he signed Senate Bill 100 into law to help make sure harmful tobacco and vapor products are not marketed and sold to kids, and during the transition he is committed to supporting businesses working to do the same. He said the provisional license will allow businesses committed to selling legal product through the licensure process to continue operating as steps are taken to protect Kentucky’s children.

On Dec. 29, 2025, the Department filed an emergency regulation to ensure that retailers who have applied for a license before Jan. 1, 2026, are not penalized while the Department continues the process of thoroughly evaluating each application.

ABC urged any tobacco and vapor product retailer who has not yet applied for licensure through the ABC to act promptly, noting that no provisional licenses will be issued after the Jan. 1 deadline.

To assist businesses that need to acquire the new license established by S.B. 100, ABC officials implemented a new online licensing system with a streamlined application process. The Department said it continues to work closely with businesses needing assistance with the application portal or with questions about the application process, and that it has proactively met with businesses and business groups to educate them on the new requirements and answer questions.

The report said Gov. Beshear signed S.B. 100 into law on March 24, 2025. The law requires all tobacco, nicotine and vapor product retailers to obtain an annual state license through ABC and strengthens enforcement, including instituting a new enforcement team to investigate consumer complaints with a portion of collected fines directed to youth vaping prevention efforts; routine and unannounced compliance checks; and greater fines and penalties for violations, including potential loss of licensure and criminal penalties for selling without a license.

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