Government of the Northwest Territories

Licences, Taxes and Fees

Tobacco Tax

What is the NWT’s Tobacco Tax Act?

The Tobacco Tax Act sets a tax on all tobacco products sold in the NWT.

For more information about the NWT Tobacco Tax, see:

What are the tax rates for tobacco in the NWT?

The Tobacco Tax rates were last updated in April 2017. The current rates are:

  • 30.4 cents per cigarette;
  • 27.2 cents per gram of loose tobacco; and
  • 75% of the suggested retail price for cigars.

For more information, please refer to Tobacco Tax Rates.

How do I pay the Tobacco Tax for my business?

You can remit payment for the NWT Tobacco Tax by completing and submitting the following forms:

What happens if I don’t pay the Tobacco Tax?

The Tobacco Tax Act provides for fines of $500 to $1,000 and 3 to 6 months imprisonment, or both, on conviction for a false statement on any form or return filed under the Act.

Can I sell cigarettes without a permit?

No, to sell tobacco directly to residents, your business must have a tobacco retail dealers permit issued in your business name and for your tobacco sales location.

If you sell cigarettes without a permit you may be in violation of the Tobacco Tax Act and/or the Tobacco Control Act. Selling tobacco products without a permit can result in a fine of $500 to $1,000 and up to 30 days imprisonment, upon conviction.

For more information, see the NWT Tobacco Control Act and Regulations.

How do I apply for a Retail Dealers permit?

To become a retail dealer for tobacco, you must complete the Retail Dealers Permit Application. You must return your completed application to:

Government of the Northwest Territories
Treasury Division, Department of Finance
PO Box 1320
Yellowknife, NT X1A 2L9

Telephone: 867.767.9244
Toll-free: 1.800.661.0820
Fax: 867.920.4357
Email: NWT_TAX@gov.nt.ca

What is the cost of an NWT retail dealers permit?

There is no fee for a dealers permit.

I have bought an existing business. Can I use their permit?

No, you must obtain a new permit.

We have moved our business to a new location. Do I need to register again?

You must notify the tax administration section. Another permit will be issued with your new address.

We have renovated our premises and our permit is lost. Do I need to register again?

You must notify the tax administration section immediately to apply for a copy of your original permit.

I no longer want to sell tobacco products. What do I do?

Return your permit to the tax administration section within 15 days of the cessation of business.

Where can I purchase my tobacco products?

Tobacco products must be purchased from a registered NWT wholesaler or permitted NWT retail dealer. The Department of Finance's tax administration section can provide a listing of registered wholesalers and permitted retail dealers.

How can I become a Tobacco Wholesaler in the NWT?

You must complete the Wholesale Dealers Permit Application and return it to:

Government of the Northwest Territories
Treasury Division, Department of Finance
PO Box 1320
Yellowknife, NT X1A 2L9

Telephone: 867.767.9244
Toll-free: 1.800.661.0820
Fax: 867.920.4357
Email: NWT_TAX@gov.nt.ca