Updated October 1, 2025
Updated October 1, 2025
The article Tobacco Licensing: What to Expect from Victoria’s New Enforcement Regime Coming into Force Early 2026 is written by Zoe Zhou, Associate, Doogue + George Defence Lawyers.
Zoe Zhou is a Criminal Defence Lawyer at Doogue + George with experience in summary and regulatory offences, including matters involving retail licensing and compliance. She has a strong interest in tobacco-related offences and provides advice on navigating complex regulatory frameworks.
Zoe appears in courts across Victoria and offers practical, accessible support to clients, particularly those from diverse backgrounds, ensuring they understand the legal process and their rights.
Victoria has introduced a new licensing scheme when it comes tobacco selling, aiming to regulate the lawful supply of tobacco products including tobacco, cigarette, cigars and other product containing tobacco. However, E-cigarettes and vapes are not included as those are regulated under Commonwealth legislations.
If your business sells tobacco products, chances are you will soon be subject to new compliance requirements.
This article explains what the new changes are, what to expect as a business owner, and how we can assist you in navigating through these complicated new changes.
From 1 July 2025, tobacco retailers and wholesalers must apply for a tobacco licence. Enforcement and compliance regarding this new licensing requirement will begin on 1 February 2026, making unlicensed sales of tobacco products illegal. Failing to comply can result in significant fines or even a term of imprisonment.
This is a first for Victoria as there is no previous licensing requirement for retailing or wholesaling of tobacco products. In effect, this will bring Victoria in alignment with the rest of Australia.
These changes reflect a state-wide crackdown on illicit tobacco and unlicensed sales. Across Australia, government agencies — including state and federal Police, and the Australian Taxation Office (ATO) — have ramped up enforcement.
Any individual over the age of 18 and body corporates are allowed to apply for a licence.
Tobacco Licensing Victoria (TLV), which is part of the Department of Justice and Community Safety, is responsible for the administration of the new scheme. TLV will both be licensing businesses, as well as investigating and enforcing the scheme.
The licence application involves checks on the suitability of applicants. A range of information must be provided, including:
This new scheme will be enforced by “licensing inspector” which is newly introduced under this scheme.
A licensing inspector will check if businesses are complying with the law. They have the power to request a person to state their name and address; to enter and search premises with the consent of the occupier to investigate suspected offending.
Under the new Tobacco Licensing scheme, an individual or a body corporate may be subject to an investigation if they:
VIT can vary, suspend or cancel the licence if the seller fails to comply with the law. If it is suspected that a business is holding or selling illicit tobacco, the licence can be immediately suspended for up to 90 days.
Other penalties include:
| Offence | Penalties for individuals | Penalties for businesses and incorporated associations |
|---|---|---|
| Possessing Illicit tobacco by tobacco supply businesses | Up to $170,948.40 or up to 5 years jail | More than $854,742 |
| Selling Illicit tobacco | Up to $366,318 or up to 15 years jail | More than $1.8 million |
| Selling tobacco without a licence | Up to $170,948.40 or 5 years jail | $854,742 |
| Failing to comply with licence conditions or obligations | Up to $12,210.60 | $61,053 |
| Providing false or misleading information | Up to $12,210.60 | $61,053 |
| Failing to display a copy of the licence | Up to $1,017.55 | $5,087.75 |
Being the subject of a tobacco licensing investigation can be intimidating and challenging — especially if it escalates into criminal charges. It also carries significant impact on business and business owner’s and their employees’ livelihood.
At Doogue + George, we regularly represent individuals and businesses in regulatory investigations.
Here’s how we assist:
Call Doogue + George on 03 9670 5111 or request a confidential call-back via our online contact form.
We understand how serious these matters are and how stressful it can be for people involved. Our goal is to resolve them quickly, discreetly, and with the least possible damage to you or your business.
Disclaimer: This blog is general information only and not legal advice. For advice tailored to your situation, speak to a criminal defence lawyer.
Date Published: 1 October 2025
“This content is for informational purposes only and should not be considered legal advice. Please consult a qualified criminal defence lawyer before making any decisions regarding your matter”
