The Difference Between State and Federal Tobacco Offences in Victoria

If you are under investigation, or have been charged with a tobacco-related offence in Victoria, it’s essential to understand whether your matter is being dealt with under state law, federal law, or both. This distinction has a direct impact on the seriousness of the charges, how your case proceeds through the courts, and what kind of penalties you might face.

This article explains the key differences between Victorian (state) and Commonwealth (federal) tobacco offences, especially in cases involving the importation or possession of illicit tobacco. This article will also outline how a criminal defence lawyer can help you navigate the complexities of both jurisdictions.

Tobacco Offences: State vs Federal Jurisdiction

Australia’s legal system divides responsibility for tobacco regulation between the states and territories (e.g. Victoria) and the Commonwealth. While some matters fall clearly into one jurisdiction, many cases, especially those involving imported tobacco, can enliven both state and federal laws.

State Law: Tobacco Act 1987 (Vic), Public Health (Tobacco) Act 2008 (NSW)

In Victoria and New South Wales, tobacco offences are primarily dealt with under the Tobacco Act 1987 (Vic) and the Public Health (Tobacco) Act 2008 (NSW) respectively, which regulates:

• The sale of tobacco products without a valid Victorian licence
• The possession or storage of tobacco for sale without a licence
• The sale of tobacco in breach of packaging, labelling, and advertising laws
• Penalties for illicit or non-compliant products, including vapes and unbranded tobacco

These offences are usually prosecuted in the Magistrates’ Court, and in many cases, carry fines or community-based sentences, though imprisonment is possible in more serious cases.

State-level offences are often focused on retailers, wholesalers, and business owners operating within states.

Federal Law: Customs Act 1901 & Criminal Code Act 1995 (Cth)

Tobacco importation, production, and excise are governed by Commonwealth legislation, including:

• The Customs Act 1901 (Cth)
• The Excise Act 1901 (Cth)
• The Criminal Code Act 1995 (Cth)

Key Commonwealth offences include:

• Importing tobacco without declaration (Customs Act)
• Possessing excisable goods without paying duty (Excise Act)
• Manufacturing tobacco without a licence (Excise Act)
• Fraud or deception involving customs declarations (Criminal Code)

These offences have a higher degree of seriousness, especially for large-scale operations or repeat importation. They are often prosecuted in the County Court or Federal Court, and carry penalties of:

• Up to 10 years’ imprisonment
• Fines of hundreds of thousands of dollars
• Seizure of goods, cash, and other assets under proceeds of crime laws

Federal offences tend to target importers, distributors, and organisers of large-scale operations rather than just retailers.

How the Two Jurisdictions Interact

In many cases, a single incident may involve both state and federal offences.

For example:

• A business found storing unlicensed imported tobacco may face:
  
  • State charges for possessing tobacco for sale without a licence (Tobacco Act), and
  • Federal charges for possessing excisable goods without duty (Excise Act).
• An individual importing undeclared chop-chop tobacco via freight may be:
  
  • Prosecuted under the Customs Act for illegal importation,
  • Charged under the Criminal Code for customs fraud, and
  • Investigated under the Tobacco Act if that product is later found in a retail environment.

Key Differences:

Why This Matters for Importation Cases

If you’re being investigated or prosecuted for importing or storing tobacco, you need to understand which laws apply — and how to respond strategically.

At Doogue + George, we’ve acted in cases involving:

• Containers of undeclared tobacco arriving through Victorian ports
• Businesses unknowingly selling illicit or undeclared products
• Dual investigations by state inspectors and federal agencies
• Cases where clients were unaware they needed a licence or were misled by suppliers

Having charges under both state and federal law complicates sentencing and increases exposure to multiple court appearances in different jurisdictions, concurrent or cumulative penalties, and asset seizures (under federal proceeds of crime laws). There are different sentencing options available to the Court for state and federal offences. This difference is most apparent with the way in which federal sentencing considers without conviction outcomes and terms of imprisonment.

How a Criminal Defence Lawyer Can Help

If you’re facing charges or under investigation, a lawyer experienced in both state and federal tobacco prosecutions can make a significant difference.

As expert criminal lawyers, we identify which offences you’re facing, whether they fall under state or federal law, and what that means for your case. We examine whether warrants, searches, and interviews were conducted lawfully. Improperly obtained evidence can be excluded.

In many cases, we work with prosecutors to reduce federal indictable charges to less serious offences — or resolve state charges without conviction, whilst representing clients in Magistrates’, County, and Federal Courts, providing consistent strategy across jurisdictions.

Charged Under State or Federal Tobacco Laws? Contact Us Now

Tobacco offences in Victoria are no longer just about selling a few unlicensed cartons. With a sharp increase in joint state and federal investigations, the stakes are now higher than ever.

Whether you’re a small business owner, an importer, or someone in the middle of a supply chain, understanding the difference between state and federal tobacco offences is crucial as is having the right legal defence.

If you’re facing serious tobacco charges in Victoria, or New South Wales, especially those involving importation, large quantities, or duty evasion, it’s essential to act quickly.

The sooner we’re involved, the better your chances of avoiding a conviction, minimising fines, maintaining your business or visa status, and most importantly, staying out of prison.

Call Doogue + George today on 03 9670 5111 or contact us via our online enquiry form for a confidential consultation.

Disclaimer: This blog is for general information only and does not constitute legal advice. For advice tailored to your specific circumstances, contact a qualified criminal lawyer.

Date Published: 8 October 2025