MI SB0582

Expands the Tobacco Products Tax Act to include alternative nicotine products (noncombustible nicotine products like pouches), authorized vapor products, and consumable materials (e-liquids containing nicotine) effective January 1, 2026

Imposes a 32% wholesale price tax on FDA-authorized vapor products/consumable materials and alternative nicotine products, with revenues split 50/50 between the Healthy Michigan Fund and Michigan Medicaid Benefits Trust Fund

Prohibits the sale, possession, or distribution of vapor products and consumable materials that have not been authorized by the FDA, with criminal penalties matching those for contraband tobacco products

Requires licensees and retailers holding alternative nicotine products or authorized consumable materials on January 1, 2026 to report inventory and pay the 32% tax by February 1, 2026

Increases financial requirements for license applicants from $25,000 to $50,000 minimum net worth, raises the wholesale value threshold for manufacturer representatives carrying non-cigarette tobacco products from $5,000 to $10,000, and prohibits local governments from imposing new taxes on tobacco products