Buying Premium Cigars Wholesale vs. Retail in California
Customers often ask whether the prices shown on our website are retail or wholesale. At Matchboxbros, the prices displayed online are retail prices unless you are purchasing through an approved wholesale account.
Wholesale pricing is available to qualifying California businesses with the proper tobacco licenses and resale documentation. Below are answers to the most common questions we receive.
Who can purchase premium cigars wholesale?
We sell wholesale to qualifying California businesses with a valid California Cigarette and Tobacco Products Retailer’s License.
Wholesale customers may also be asked to provide:
- A valid California seller’s permit
- A completed resale certificate
- The licensed business and delivery address
- Additional information needed to verify the account
Products purchased wholesale must be intended for resale.
What is the difference between a retail and wholesale order?
A retail order is generally purchased for personal use at the prices displayed on our website. Applicable retail sales tax is charged, and the customer receives a standard receipt or order confirmation.
A wholesale order is a business-to-business purchase for resale. Approved customers receive an itemized wholesale invoice that includes the business, license, product, quantity, and pricing information connected to the transaction.
Are wholesale cigar orders tax-exempt?
Wholesale purchases made for resale may generally be purchased without paying sales tax at the time of the order when a valid resale certificate is provided.
However, this does not mean the cigars are exempt from California tobacco excise tax. That tax is generally paid at the distributor level and included in the cost of the product.
You may see language on a wholesale invoice stating that California cigarette and tobacco products taxes are included. The exact wording may vary by supplier.
Why is a wholesale invoice important?
A wholesale invoice documents where your tobacco inventory came from and provides a record of the products purchased for your licensed business.
It may include:
- Seller and purchaser information
- Tobacco license numbers
- Date of sale
- Brand, product, quantity, and price
- California tobacco-tax information
These records are important if your business is inspected or audited. California tobacco retailers are generally required to keep complete purchase invoices for their inventory.
Can I use a retail receipt during an audit?
A standard retail receipt may not include all the information expected on a tobacco purchase invoice, such as license numbers, the licensed business address, detailed product information, or California tobacco-tax language.
For products purchased for resale, the best practice is to order through an approved wholesale account and retain the complete wholesale invoice.
Because every business situation is different, consult a tax professional, attorney, or the California Department of Tax and Fee Administration regarding your specific record-keeping requirements.
What premium cigars do you carry?
Matchboxbros carries a wide selection of premium cigars from established manufacturers and boutique brands.
Our inventory includes different:
- Brands and blends
- Sizes and shapes
- Wrapper types
- Strengths
- Price ranges
- Box quantities
Availability changes regularly, so contact us when you are looking for a specific brand, blend, vitola, box size, or limited release.
What if a cigar is out of stock or not listed?
Contact us and let us know what you are looking for.
There are thousands of cigar brands, blends, and sizes available, and it is not possible to keep every option in stock at all times. Some products may also be temporarily unavailable or may not sell quickly enough for us to carry as regular inventory.
When possible, we can check availability, confirm the wholesale price, review any box or minimum-order requirements, and place a special order after you approve the details.
Why are some of your wholesale premium cigars prices similar to online retail shops?
Premium cigar prices in California may be higher than prices advertised by retailers in other states because California tobacco excise tax is built into the cost of products sold through the state’s licensed distribution system.
Prices may also vary because of:
- Promotions or closeouts
- Shipping charges
- Minimum-order requirements
- Product availability
- Regional pricing
- Taxes and fees
- Differences in licensing and distribution
Open a wholesale account
To request wholesale pricing from Matchboxbros, contact us with your business information and a copy of your valid California Cigarette and Tobacco Products Retailer’s License.
We can help with opening orders, popular products, restocking recommendations, availability, and special requests.
This article is for general informational purposes only and is not legal, accounting, or tax advice. Tobacco licensing, tax, invoicing, and record-keeping requirements may change. Consult the California Department of Tax and Fee Administration or a qualified professional regarding your business.