Cigarettes are taxed differently from other tangible personal property/products purchases and sold in Colorado. Cigarettes are subject to both excise and sales tax. A cigarette tax return must be filed monthly, even if there is no tax due. For more information on sales tax, visit the Sales Tax section of this website.
The cigarette excise tax in Colorado is 4.2 cents per cigarette and is represented by a $1.05 or $0.84 stamp, depending on the number of cigarettes in the pack. Every pack of cigarettes sold to consumers in Colorado must have a Colorado cigarette stamp affixed to the bottom of the pack. This includes cigarettes ordered by telephone, mail or online. For more information, visit the Cigarette Stamps page.
Taxability of Electronic Cigarettes (E-cigarettes)
E-cigarettes that do not contain any tobacco are not subject to the tobacco excise tax; however, sales tax does apply to the purchase.
Roll-Your-Own Cigarette Making Machine
Due to the passage of the 2012 federal highway bill (MAP-21), any person who makes available to consumers a machine capable of making tobacco products such as cigarettes is considered a manufacturer on the Federal level and must be licensed by the Tobacco and Trade Bureau. Once federal requirements have been met, the owner must certify the product through the Colorado Attorney General's Office.