On 1 July 2026, a new offence commenced for commercial lessors who knowingly permit their premises to be used for the sale of illicit tobacco or illicit vaping goods.
The maximum penalty is one year imprisonment, a fine of $165,000, or both.
The new landlord offence complements recent reforms to crack down on illicit tobacco and illicit vaping goods, including closure order powers that allow NSW Health to issue a short-term (up to 90 days) closure order or apply to the Local Court for a long-term (up to 12 months) closure order for premises selling illicit tobacco, or illegal vaping goods, or selling tobacco or non-tobacco smoking products without a valid licence.
Significant penalties apply.
Tobacco retailing laws regulate the advertising and display of tobacco products and non-tobacco smoking products, and ban the supply of these products to people under 18. These laws aim to reduce the uptake of smoking, particularly by young people.
Tobacco retailing laws in NSW are in the Public Health (Tobacco) Act 2008 and the Public Health (Tobacco) Regulation 2022.
Key requirements in the legislation include:
Retailers need to ensure that they also comply with all other relevant tobacco legislation including Commonwealth laws applying to tobacco advertising and sponsorship prohibitions, tobacco product requirements, and online point of sale requirements. Further information and guidance can be accessed from Australian Government Department of Health and Ageing - Advertising and sponsorship bans.
Tobacco wholesaling laws in NSW are in the Public Health (Tobacco) Act 2008 and the Public Health (Tobacco) Regulation 2022
From 1 July 2026, a new offence exists for a commercial lessor that knowingly permits premises to be used for the sale of illicit tobacco or illicit vaping goods.
This new offence targets landlords who are aware of tenants selling illicit tobacco or vaping goods from their premises and who knowingly permit this illicit activity to continue.
Landlords that are aware of, or suspect, a tenant is selling illicit tobacco or vaping goods are encouraged to report this to NSW Health. This can be done via the NSW Health online complaints portal
The maximum penalty for a landlord who is convicted of the offence is one year imprisonment, a fine of $165,000, or both.
If a premises is subject to a closure order, a landlord can terminate a lease or licence for retail or wholesale premises by giving the lessee at least 28 days' notice. The termination is taken to be for repudiation of the lease by the tenant.
Information on retail leases is available from the Small Business Commission
Landlords should obtain their own legal advice to ensure they are complying with the law.
The NSW tobacco licensing scheme commenced on 1 July 2025.
Retailers and wholesalers require a tobacco licence to sell tobacco and non-tobacco smoking products in NSW.
Retailers and wholesalers can apply for a licence using their MyServiceNSW account via the Service NSW website. Licences are subject to criminal record checks, fees, and other government considerations before approval.
A copy of the licence must be conspicuously displayed at the point of sale in a retail store and at the premises of a wholesaler.
From 1 July 2025, the retailer identification number (RIN) system will no longer be operating. Retailers and wholesalers must apply for a tobacco licence to continue trading.
For more information, see Tobacco licensing scheme.
It is illegal for any retailer, except community pharmacies, to sell vaping goods.
There are strong penalties in NSW for illegally selling vaping goods, including vaping devices, vaping accessories and vaping liquids (regardless of nicotine content).
Maximum penalties for illegally supplying or possessing vaping goods are up to 7 years imprisonment, a fine of $1.54 million, or both.
For information on therapeutic vaping goods available through community pharmacies, please see Pharmaceutical Services - Vaping Goods.
Retailers must display compulsory warning signs in retail outlets where tobacco products, non-tobacco smoking products, or smoking accessories are sold, including vending machines.
Signs can be ordered free of charge by completing the retailer order form, emailing MOH-PopulationHealthResources@health.nsw.gov.au, or by calling 1300 655 957.
NSW Health inspectors monitor compliance with the legislation and can issue warnings, fines, close premises, or initiate prosecutions against retailers that break the law.
The NSW Government's tough new penalties for a range of tobacco retailing offences and closure order powers commenced on 3 November 2025.
For more information, see Penalties and enforcement.
