Compliance Resource Center
At Vega Distribution, we're more than just a wholesaler—we're your partner in success. With new regulations taking effect in Kentucky, we understand that navigating compliance can be complex. This resource center is designed to provide you with the essential information you need to stay compliant, protect your business, and continue serving your customers.
Some products sold by Vega Distribution require a license to sell and COAs or other documentation to comply with local, state or federal laws. The information on this page contains licensing information and documentation supplied to Vega by the manufacturer. You should always double check this information with the manufacturer for the latest updates.
We've separated this information into two sections:
WHAT YOU NEED TO SELL IN KENTUCKY
Retailer License Requirements
Kentucky Resale Certificate
We require a Kentucky Resale Certificate from customers to verify they are registered businesses eligible to purchase goods for resale, ensuring compliance with Kentucky tax laws and exempting the transactions from sales tax. You will need this certificate with your Sales and Use Tax Permit Account Number, and FEIN to establish an account with Vega.
Here is a
downloadable resale certificate.
Kentucky Tobacco License
Effective January 1, 2026, a new state law requires all retailers selling tobacco, nicotine, or authorized vapor products to obtain a license from the Department of Alcoholic Beverage Control (ABC). This is a new requirement. Your existing business license is no longer sufficient.
Action Item: Apply for Your New License
- Who Needs It: Any retailer selling tobacco products, alternative nicotine products, or authorized nicotine vapor products.
- When to Apply: The law takes effect on January 1, 2026, and your license must be renewed annually. The ABC has informed us information will be available in October 2025.
- Application Process: The application will be a form prescribed by the ABC, and it must include a nonrefundable $50 application fee. The annual license fee is $500 per retail location.
- Key Details:
- The license is non-transferable between people or locations.
- A new license is required if there is a change in ownership.
- The license must be posted in a conspicuous place at your business.
- Retailers with an existing Chapter 243 license can start the application process at their next renewal date
Kentucky CBD /
Hemp Permit
If you are selling adult-use hemp derived cannabinoid products your business must have a permit with the Cabinet for Health and Family Services.
For CBD hemp sales, 902 KAR 45:012 and 902 KAR 45:021 establish that retailers and distributors must obtain a permit from the Cabinet for Health and Family Services, with a $2,000 annual fee for adult-use cannabinoid products
VAPE PRODUCTS
- Under the new law, a "vapor product" can only be sold if it is an "authorized nicotine vapor product". This means the manufacturer has either received a marketing order from the FDA or has a pending premarket tobacco product application that meets specific criteria.
There are currently only 4 manufacturers authorized to be sold in the U.S. (July 2025)
- Logic
- NJoy
- Vuse (R.J. Reynolds)
- JUUL
ADULT USE CBD
All hemp-derived cannabinoid products must be registered with the Kentucky Department for Public Health before they can be sold in retail or food service establishments. A product is considered "adult-use" if it has intoxicating properties, which change the function of the nervous system and alter perception, cognition, or behavior. Products that do not meet the definition of non-intoxicating are considered adult-use.
- Key Distinctions:
- Non-Intoxicating: Must have a ratio of at least 15 non-intoxicating cannabinoids to 1 adult-use cannabinoid and contain 2.5mg or less of adult-use cannabinoid per serving.
- Prohibited Cannabinoids: Unless pre-approved by the state, all cannabinoids not listed as "Adult-use" or "Non-intoxicating" are prohibited from sale in Kentucky.
The following products are prohibited from retail sale in Kentucky:
- Hemp cigarettes or cigars
- Hemp leaf or floral material teas
- Hemp bud or floral material (ground or whole)
- Chew, dip, or other smokeless material made of hemp leaf or floral material
Product Labeling & Certificates of Analysis (COA)
Each product must have a tamper-evident seal, and adult-use products require child-resistant packaging .
- Important: Packaging cannot contain cartoons, or resemble commercially available candy or snacks.
- Action Item: COA Availability
- As a retailer, you must have a valid Certificate of Analysis (COA) for all cannabinoid products available upon request. Vega Distribution is committed to providing this documentation for all hemp-derived products we sell. We encourage you to only buy your products from a single supplier and to utilize our COA database as your sole resource.
KRATOM
New Regulations Pending
In Kentucky, the sale of kratom and its derivative, 7-hydroxymitragynine (also known as "7-OH" or "Hydroxy"), is regulated by state law. Here's a summary of the key rules:
Kratom and 7-Hydroxymitragynine (Hydroxy) Regulations:
- Age Restriction: It is illegal for any kratom processor or retailer to sell or distribute kratom or kratom products to anyone under the age of 21.
- Product Safety and Adulteration: Retailers and processors are prohibited from selling kratom products that are adulterated with dangerous non-kratom substances or contain a poisonous or harmful non-kratom ingredient, including any controlled substances.
- 7-Hydroxymitragynine (Hydroxy) Content: A product cannot be sold if its level of 7-hydroxymitragynine in the alkaloid fraction is greater than 2% of the overall alkaloid composition. There was a bill introduced in the 2025 legislative session to amend this, but it did not pass.
- Prohibited Compounds: The sale of products containing synthetic alkaloids, such as synthetic mitragynine, synthetic 7-hydroxymitragynine, or any other synthetically derived compound of the Mitragyna speciosa plant, is prohibited.
- Labeling: All kratom products must have a clear label that provides adequate information for safe use. This includes a list of ingredients, the chemical composition, serving size, and safety disclaimers.
- Federal Status: The U.S. Food and Drug Administration (FDA) has not approved any kratom-containing drug products, dietary supplements, or food additives for the U.S. market. The FDA has issued public warnings due to the potential for serious adverse health events, including liver toxicity and seizures. Federal regulations may supersede Kentucky's law at any time.