Victoria's new tobacco licensing scheme starts today, as part of the Allan Labor Government's crackdown on the illicit tobacco trade and organised crime.
Retailers and wholesalers can now apply for a licence on the Service Victoria app or website. Licences will be required to sell tobacco products in Victoria from February 2026 when enforcement beings.
Anyone who sells tobacco will need to apply for a licence, including supermarkets, convenience stores, liquor stores, petrol stations and online retailers.
Anyone found to be selling tobacco without a licence will face fines of up to $355,000 or up to 15 years in jail, while businesses will face fines of more than $1.7 million.
Licences will only be granted to fit and proper people who pass a strict test, with the regulator able to refuse a licence based on a person's history or known associates.
Victoria Police will also play a role in ensuring the suitability of licensees and will have powers to impose further licence conditions.
Licensing fees will be lower than New South Wales and Tasmania - with initial licences valid for 17 months from when enforcement begins in February 2026.
The initial fee will be $1,176, to avoid businesses applying for a license twice in the same year. It will be $830 every year thereafter.
Fourteen licensing inspectors will be on the ground to ensure compliance and helping shut down illegal operators, while also supporting police with intelligence gathering in the fight against serious organised crime.
Tobacco Licensing Victoria will also have the power to cancel a licence and disqualify a person from applying for a licence.
The Victorian Budget 2025/26 delivered $46 million to set up the new licensing scheme and regulator to help smoke out the illegal tobacco market.
For more information and to apply for a licence through Service Victoria, visit vic.gov.au/apply-tobacco-licence.
As stated by Minister for Casino, Gaming and Liquor Regulation Enver Erdogan
"Victoria's tobacco licensing scheme will help smoke out organised crime and protect legitimate retailers."
"License applications open today, and we will support businesses through the process ahead of enforcement next year."
