The Prevent All Cigarette Trafficking (PACT) Act became law after it was passed by Congress in 2009, and it went into effect on June 29, 2010.
The PACT Act is intended to prevent illegal tobacco sales and tax avoidance. It also prevents cigarettes, smokeless and roll-your-own tobacco products from being shipped via the U.S. Postal Service.
Under the PACT Act, companies that sell cigarettes, roll-your-own tobacco and smokeless tobacco and ship the product for a profit into a state, locality or Native American tribe that taxes the sale of these products — or advertises these products for sale or shipment — must register with both the Federal Bureau of Alcohol, Tobacco, Firearms and Explosives and with the tobacco tax administrators of the state.
ENDS Now Included Under PACT Act
Most recently, at the U.S. federal level, the “Consolidated Appropriations Act of 2021” was signed into law on Dec. 27, 2020 — part of the COVID-19 stimulus relief legislation. As part of this law, the PACT Act was amended to now include electronic nicotine delivery systems (ENDS) as part of the law, in addition to cigarettes, smokeless and roll-your-own tobacco.
As of this writing, companies that sell ENDS for delivery in other states may need to comply with the PACT Act beginning March 27, 2021, per a bulletin by the National Association of Tobacco Outlets (NATO).
An ENDS product is defined by the law as “any electronic device that, through an aerosolized solution, delivers nicotine, flavor, or any other substance to the user inhaling from the device [including] an e-cigarette; an e-hookah; an e-cigar; a vape pen; an advanced refillable personal vaporizer; an electronic pipe; and any component, liquid, part or accessory of a device…without regard to whether the component, liquid, part, or accessory is sold separately from the device.”
NATO pointed out this definition excludes alternative nicotine products, which are not sold in a liquid form and are not used with an electronic vaporizer device.
The PACT Act limits single sales or delivery of cigarettes, smokeless, roll-your-own tobacco and now ENDS to 10 pounds or less. It also requires that delivery sellers obtain 21-and-older age verification at the time the order is placed and upon delivery with a valid government-issued photo ID.
