Payments, assistance & taxes

Tobacco and Tobacco-Related Products Tax

Due date
January
31st
of each year, for the prior year's sales
Tax rate

$0.036 for individually rolled items (like cigars)
$0.36 per pack of rolling papers
$0.36 per ounce of all other tobacco and tobacco-related items

Who pays the tax

This tax applies to tobacco and tobacco-related products sold by retailers, including those items sold through vending machines. Businesses that sell these products must pay Tobacco Tax to the City.

Items subject to this tax include:

  • Products that contain tobacco for smoking or other consumption.
  • Tobacco-related products, including:
    • Rolling papers;
    • Cigars;
    • Smokeless tobacco;
    • Pipe tobacco; or
    • Other loose tobacco.

Important dates

Tobacco Tax returns must be filed and paid by January 31 of each year, for the prior year’s sales.

Tax rates, penalties, & fees

How much is it?

Tobacco Tax rates vary by product type as follows:

  • $0.036 for individually rolled items (like cigars)
  • $0.36 per pack of rolling papers
  • $0.36 per ounce of all other tobacco and tobacco-related items

What happens if you don't pay on time?

If you don’t pay on time, penalty fees and interest will be added to the amount you owe. Penalties accrue at 1.25% of the unpaid tax for each month or fraction thereof. The amount due will also be subject to monthly interest, currently at the rate of 0.5%.

For more information about interest and penalty rates, visit the interest, penalties, and fees page.

Discounts & exemptions

Are you eligible for a discount?

No discounts are available for the Tobacco and Tobacco-Related Products Tax.


Can you be excused from paying the tax?

Cigarettes and little cigars are exempt from the Tobacco- and Tobacco-Related Products Tax. These products are instead subject to the Commonwealth’s Cigarette Tax.

How to pay

File your return online

You must file your Tobacco Tax return online through the Department of Revenue’s eFile/ePay portal.

Tax return forms are not sent out for this tax, since returns must be filed online. This does not excuse businesses from the responsibility of filing the return and paying the tax due on time.

Pay online or by mail

Payments can be made through the City’s online payment portal or by mail.

If paying by mail, send payments with coupons to:

Philadelphia Dept. of Revenue
P.O. Box 53250
Philadelphia, PA 19105

Tax code

27

Forms & Instructions


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