IL HB5182

Remote retail sellers of cigars and pipe tobacco meeting certain sales criteria must collect and remit Illinois tobacco products tax beginning January 1, 2027

Tax rate increases to 45% of the actual cost paid by distributors or remote retail sellers for each stock keeping unit (SKU), effective January 1, 2027

Maximum tax per cigar (excluding little cigars) capped at $0.75 per cigar from January 1, 2027 through December 31, 2029

Adds new definitions for "remote retail sale," "remote retail seller," "actual cost," "actual cost list," "cigar," "pipe tobacco," and "stock keeping unit" to the Tobacco Products Tax Act of 1995

Expands tax collection requirements to out-of-state sellers who do not maintain a physical presence in Illinois but sell tobacco products to Illinois consumers