Introduced Version HOUSE BILL No. 1410 _____ DIGEST OF INTRODUCED BILL Citations Affected: IC 7.1-2-3-33; IC 7.1-3-18.5; IC 35-31.5-2; IC 35-46-1-12.5. Synopsis: Ban on sale of flavored tobacco and e-liquids. Prohibits the sale of flavored tobacco products and their components, including: (1) cigarettes, electronic cigarettes, and smokeless tobacco; and (2) tobacco products that have a characterizing flavor. Provides that a person or entity that sells a flavored tobacco product commits a Class C misdemeanor and may have the person's or entity's tobacco sales certificate revoked by the alcohol and tobacco commission. Effective: July 1, 2025. Jackson C January 13, 2025, read first time and referred to Committee on Public Policy. 2025 IN 1410—LS 6559/DI 107 Introduced First Regular Session of the 124th General Assembly (2025) PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type. Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution. Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts between statutes enacted by the 2024 Regular Session of the General Assembly. HOUSE BILL No. 1410 A BILL FOR AN ACT to amend the Indiana Code concerning alcohol and tobacco. Be it enacted by the General Assembly of the State of Indiana: 1 SECTION 1. IC 7.1-2-3-33, AS AMENDED BY P.L.49-2020, 2 SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE 3 JULY 1, 2025]: Sec. 33. The commission is authorized to: 4 (1) investigate a violation of; and 5 (2) enforce a penalty for a violation of; 6 IC 35-46-1-10, IC 35-46-1-10.2, IC 35-46-1-11, IC 35-46-1-11.2, 7 IC 35-46-1-11.4, IC 35-46-1-11.5, IC 35-46-1-11.7, or IC 35-46-1-11.8, 8 or IC 35-46-1-12.5. 9 SECTION 2. IC 7.1-3-18.5-5, AS AMENDED BY P.L.49-2020, 10 SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE 11 JULY 1, 2025]: Sec. 5. (a) Subject to subsection (b), the commission 12 may suspend the certificate of a person who fails to pay a civil penalty 13 imposed for violating IC 35-46-1-10, IC 35-46-1-10.2, IC 35-46-1-11, 14 IC 35-46-1-11.2, IC 35-46-1-11.4, IC 35-46-1-11.5, IC 35-46-1-11.7, 15 or IC 35-46-1-11.8, or IC 35-46-1-12.5. 16 (b) Before enforcing the imposition of a civil penalty or suspending 17 or revoking a certificate under this chapter, the commission shall 2025 IN 1410—LS 6559/DI 107 2 1 provide written notice of the alleged violation to the certificate holder 2 and conduct a hearing. The commission shall provide written notice of 3 the civil penalty or suspension or revocation of a certificate to the 4 certificate holder. 5 (c) Subject to subsection (b), the commission shall revoke the 6 certificate of a person upon a finding by a preponderance of the 7 evidence that the person: 8 (1) has violated IC 35-45-5-3, IC 35-45-5-3.5, IC 35-45-5-4, 9 IC 35-46-1-11, IC 35-46-1-11.2, IC 35-46-1-11.4, or 10 IC 35-46-1-11.8, or IC 35-46-1-12.5; 11 (2) has committed habitual illegal sale of tobacco as established 12 under IC 35-46-1-10.2(j); or 13 (3) has committed habitual illegal entrance by a minor as 14 established under IC 35-46-1-11.7(f). 15 SECTION 3. IC 7.1-3-18.5-6, AS AMENDED BY P.L.49-2020, 16 SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE 17 JULY 1, 2025]: Sec. 6. (a) If a certificate has: 18 (1) expired; or 19 (2) been suspended; 20 the commission may not reinstate or renew the certificate until all civil 21 penalties imposed against the certificate holder for violating 22 IC 35-46-1-10, IC 35-46-1-10.2, IC 35-46-1-11, IC 35-46-1-11.2, 23 IC 35-46-1-11.4, IC 35-46-1-11.5, IC 35-46-1-11.7, or IC 35-46-1-11.8, 24 or IC 35-46-1-12.5 have been paid. 25 (b) The failure to pay a civil penalty described in subsection (a) is 26 a Class B infraction. 27 (c) If a certificate has been revoked, the commission may not 28 reinstate or renew the certificate for at least one hundred eighty (180) 29 days after the date of revocation. The commission may reinstate or 30 renew the certificate only upon a reasonable showing by the applicant 31 that the applicant shall: 32 (1) exercise due diligence in the sale of tobacco products or 33 electronic cigarettes on the applicant's premises where the 34 tobacco products or electronic cigarettes are sold or distributed; 35 and 36 (2) properly supervise and train the applicant's employees or 37 agents in the handling and sale of tobacco products or electronic 38 cigarettes. 39 If a certificate is reinstated or renewed, the applicant of the certificate 40 shall pay an application fee of one thousand dollars ($1,000). 41 (d) Notwithstanding IC 34-28-5-5(c), civil penalties collected under 42 this section must be deposited in the youth tobacco education and 2025 IN 1410—LS 6559/DI 107 3 1 enforcement fund established under IC 7.1-6-2-6. 2 SECTION 4. IC 7.1-3-18.5-8, AS AMENDED BY P.L.49-2020, 3 SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE 4 JULY 1, 2025]: Sec. 8. The commission may mitigate civil penalties 5 imposed against a certificate holder for violating IC 35-46-1-10, 6 IC 35-46-1-10.2, IC 35-46-1-11, IC 35-46-1-11.2, IC 35-46-1-11.4, 7 IC 35-46-1-11.5, IC 35-46-1-11.7, IC 35-46-1-11.8, IC 35-46-1-12.5, 8 or any of the provisions of this chapter if a certificate holder provides 9 a training program for the certificate holder's employees that includes 10 at least the following topics: 11 (1) Laws governing the sale of tobacco products and electronic 12 cigarettes. 13 (2) Methods of recognizing and handling customers who are less 14 than twenty-one (21) years of age. 15 (3) Procedures for proper examination of identification cards to 16 verify that customers are under twenty-one (21) years of age. 17 SECTION 5. IC 35-31.5-2-36.5 IS ADDED TO THE INDIANA 18 CODE AS A NEW SECTION TO READ AS FOLLOWS 19 [EFFECTIVE JULY 1, 2025]: Sec. 36.5. "Characterizing flavor", for 20 purposes of IC 35-46-1-12.5, has the meaning set forth in 21 IC 35-46-1-12.5(a). 22 SECTION 6. IC 35-31.5-2-52.5 IS ADDED TO THE INDIANA 23 CODE AS A NEW SECTION TO READ AS FOLLOWS 24 [EFFECTIVE JULY 1, 2025]: Sec. 52.5. "Component part", for 25 purposes of IC 35-46-1-12.5, has the meaning set forth in 26 IC 35-46-1-12.5(b). 27 SECTION 7. IC 35-31.5-2-61.5 IS ADDED TO THE INDIANA 28 CODE AS A NEW SECTION TO READ AS FOLLOWS 29 [EFFECTIVE JULY 1, 2025]: Sec. 61.5. "Constituent", for purposes 30 of IC 35-46-1-12.5, has the meaning set forth in IC 35-46-1-12.5(c). 31 SECTION 8. IC 35-31.5-2-99.5 IS ADDED TO THE INDIANA 32 CODE AS A NEW SECTION TO READ AS FOLLOWS 33 [EFFECTIVE JULY 1, 2025]: Sec. 99.5. "Distinguishable", for 34 purposes of IC 35-46-1-12.5, has the meaning set forth in 35 IC 35-46-1-12.5(d). 36 SECTION 9. IC 35-31.5-2-136.5 IS ADDED TO THE INDIANA 37 CODE AS A NEW SECTION TO READ AS FOLLOWS 38 [EFFECTIVE JULY 1, 2025]: Sec. 136.5. "Flavored tobacco 39 product", for purposes of IC 35-46-1-12.5, has the meaning set 40 forth in IC 35-46-1-12.5(e). 41 SECTION 10. IC 35-31.5-2-306.5 IS ADDED TO THE INDIANA 42 CODE AS A NEW SECTION TO READ AS FOLLOWS 2025 IN 1410—LS 6559/DI 107 4 1 [EFFECTIVE JULY 1, 2025]: Sec. 306.5. "Smoke constituent", for 2 purposes of IC 35-46-1-12.5, has the meaning set forth in 3 IC 35-46-1-12.5(f). 4 SECTION 11. IC 35-31.5-2-334.5 IS ADDED TO THE INDIANA 5 CODE AS A NEW SECTION TO READ AS FOLLOWS 6 [EFFECTIVE JULY 1, 2025]: Sec. 334.5. "Tobacco product", for 7 purposes of IC 35-46-1-12.5, has the meaning set forth in 8 IC 35-46-1-12.5(g). 9 SECTION 12. IC 35-46-1-12.5 IS ADDED TO THE INDIANA 10 CODE AS A NEW SECTION TO READ AS FOLLOWS 11 [EFFECTIVE JULY 1, 2025]: Sec. 12.5. (a) As used in this section, 12 "characterizing flavor" means a distinguishable taste or aroma: 13 (1) other than the taste or aroma of tobacco; and 14 (2) that is imparted or detectable before or during 15 consumption of a tobacco product or component part; 16 including a taste or aroma relating to any fruit, chocolate, vanilla, 17 honey, candy, cocoa, dessert, alcoholic beverage, menthol, mint, 18 wintergreen, herb, or spice. The term does not include ingredients, 19 additives, or flavorings in a tobacco product that do not contribute 20 to the distinguishable taste or aroma of the tobacco product. 21 (b) As used in this section, "component part" means any 22 element of a tobacco product, including the tobacco, filter, and 23 paper. The term does not include any constituent. 24 (c) As used in this section, "constituent" means any ingredient, 25 substance, chemical, or compound, excluding tobacco, water, or 26 reconstituted tobacco sheet, that is added by the manufacturer to 27 a tobacco product during the processing, manufacturing, or 28 packaging of the tobacco product. The term includes a smoke 29 constituent. 30 (d) As used in this section, "distinguishable" means perceivable 31 by the sense of smell or taste. 32 (e) As used in this section, "flavored tobacco product" means 33 any tobacco product or component part that contains a constituent 34 that has or produces a characterizing flavor. 35 (f) As used in this section, "smoke constituent" means any 36 chemical or chemical compound in mainstream or sidestream 37 tobacco smoke: 38 (1) that transfers from any component part of the tobacco 39 product to the smoke; or 40 (2) that is formed by the combustion or heating of tobacco, 41 additives, or other component parts of the tobacco product. 42 (g) As used in this section, "tobacco product" means: 2025 IN 1410—LS 6559/DI 107 5 1 (1) any product containing, made from, or derived from 2 tobacco or nicotine that is intended for human consumption, 3 whether smoked, chewed, absorbed, dissolved, inhaled, 4 snorted, sniffed, or ingested by any other means, including: 5 (A) cigarettes, cigars, little cigars, chewing tobacco, pipe 6 tobacco, or snuff; or 7 (B) electronic cigarettes, electronic cigars, electronic pipes, 8 electronic hookah, or similar products, regardless of 9 nicotine content, that rely on vaporization or 10 aerosolization; and 11 (2) any component part of a tobacco product. 12 The term does not include any product that has been approved by 13 the federal Food and Drug Administration either as a tobacco use 14 cessation product or for other medical purposes and that is being 15 marketed and sold or prescribed solely for the approved purpose. 16 (h) A public statement, claim, or indicia made or disseminated 17 by: 18 (1) the manufacturer of a tobacco product; or 19 (2) any person authorized or permitted by the manufacturer 20 to make or disseminate public statements concerning a 21 tobacco product; 22 that a tobacco product has or produces a characterizing flavor 23 constitutes presumptive evidence that the tobacco product is a 24 flavored tobacco product. 25 (i) A person or entity may not: 26 (1) sell or distribute; 27 (2) cause to be sold or distributed; or 28 (3) offer for sale; 29 any flavored tobacco product to a consumer. 30 (j) A person or entity that violates this section commits a Class 31 C misdemeanor. 2025 IN 1410—LS 6559/DI 107