Raw leaf tobacco registrants can order bale and package markers, submit forms and returns, and manage records using ONT-TAXS online, Ontario's secure, convenient and free online tax service for businesses.

Registrants will receive important ONT-TAXS account set-up information in the mail. Learn more about ONT-TAXS.

If you are involved in the raw leaf tobacco industry, it is important that you read this page.

Raw leaf tobacco includes all varieties of unmanufactured tobacco grown in or brought into Ontario, including:

  • green leaf tobacco
  • the leaves and stems of a tobacco plant
  • flue cured, dark fire cured/dark air cured (also known as black), and
  • burley tobacco.

It does not include seedlings.

Contact the Ministry of Finance if you have questions or if you need to notify the ministry of specific situations as outlined below.

Baling and packaging

All raw leaf tobacco possessed or brought into Ontario must be baled or packaged, with some exceptions (as set out in O.Reg 271/16).

Producers may possess unbaled or unpackaged raw leaf tobacco if it:

  • is not harvested
  • is the stalk of a tobacco plant or is attached to the stalk of a tobacco plant
  • is harvested but not cured
  • is being cured in a kiln or barn
  • was removed from the kiln or barn within the last 24 hours, and is in a distinct pile of raw leaf tobacco that was cured in the same kiln or barn
  • was removed from the kiln or barn more than 24 hours prior, is in a distinct pile of raw leaf tobacco that was cured in the same kiln or barn, and the producer's books or records indicate:
    • kiln number or barn number in which the raw leaf tobacco was cured
    • estimated weight of the raw leaf tobacco in the pile, and
    • the reason why the raw leaf tobacco was not baled or packaged.

There are valid reasons why raw leaf tobacco would not be baled or packaged within 24 hours, such as:

  • it is waste tobacco unfit for sale
  • raw leaf tobacco is off grade (e.g., green leaf or dark raw leaf tobacco) and the producer is waiting to gather enough of a similar grade to make a bale or package
  • moisture level of the raw leaf tobacco is too high and the raw leaf tobacco needs further drying before it can be baled or packaged
  • baling or packaging equipment is broken and needs repair, or
  • there is another valid business reason, based on the raw leaf tobacco and normal business practices.

Waste raw leaf tobacco (unfit for sale or off-grade) from more than one kiln or barn can be in the same waste pile.

Processors, manufacturers, importers and exporters may possess raw leaf tobacco that is not baled or packaged if it is being:

  • processed or manufactured, and
  • actively assessed for quality.

Dealers may possess raw leaf tobacco that is not baled or packaged if it is:

  • purchased for the purpose of selling, offering, or keeping for sale to an individual who is exempt from registration under the Tobacco Tax Act for personal use, and
  • being immediately packaged for the purpose of selling the raw leaf tobacco to an exempt individual.

Other baling or packaging exception:

  • raw leaf tobacco possessed by persons exempt from registration under the Act or Ontario Regulation 247/14, including persons who possess raw leaf tobacco for personal use, research or certain other uses.

Labelling with Ontario‑issued markers

Ontario has strengthened government oversight of raw leaf tobacco by issuing security enhanced bale and package markers to businesses in the sector. These markers improve the government’s ability to monitor the movement of raw leaf tobacco throughout production and distribution, making it harder for tobacco to flow into illegal channels.

Producers, dealers (buyers) and exporters must label their bales or packages with Ontario‑issued markers. Any other markers are not legal.

Ministry of Finance inspectors deliver markers, free of charge, to registered businesses prior to harvest, based on the type of bale or package information they provide to the ministry on their annual Evidence of Contract for Purchase forms.

Each bale or package of raw leaf tobacco must be visibly labelled with a marker as soon as it is made in a baler or by a packager. This means before the next bale or package is made.

Features of the ministry-issued marker include:

  • Unique Identifier Number (pre‑printed)
  • Name of the raw leaf tobacco producer (pre‑printed)
  • Name of purchaser (pre‑printed)
  • Date baled or packaged
  • Kiln or barn number where the raw leaf tobacco was cured, if applicable
  • Bale or package weight.

Additional information required can be written directly on the marker such as the date baled or packaged, kiln or barn number and bale or package weight.

Where a registrant takes apart bales or packages of raw leaf tobacco to be re‑baled, re‑packaged or re‑worked, the original marker(s) must not be re‑used. Instead a new marker must be used. Markers can be obtained by contacting the Ministry of Finance by:

Registrants who require new markers for re-baled, re‑packaged or re‑worked raw leaf tobacco must provide the ministry with the number of new bales or packages, the name of the producer (if only one) and the name of the purchaser for each bale or package. Registrants must request new markers at least five business days before the new markers are required.

If the new bale or package includes raw leaf tobacco sourced from more than one producer, the registrant must record in their books the name of all the raw leaf tobacco producers, along with the corresponding kiln or barn number of each producer. Indicate on the marker the name of the producer who provided the most content in that reworked bale or package.

Registrants must document damaged, unusable, lost or stolen markers in their records. Additionally, damaged and unusable markers should be kept along with records and new markers containing the original information should be used to label bales or packages. If the damaged and unusable markers are not kept and disposed of according to the regulations, this may result in fines or penalties. If bales or packages are labelled using damaged or reused markers, you may face penalties and fines.

All unused markers at the end of a growing season will be collected by ministry inspectors. If markers are lost or stolen, the ministry must be immediately notified by contacting:

  • 1‑866‑ONT‑TAXS (1‑866‑668‑8297) extension 16160, or
  • by email at RLT@Ontario.ca

Importers are not affected and should continue to require markers on bales and packages of raw leaf tobacco received from their suppliers. All imported raw leaf tobacco must be labelled prior to entering Ontario. The supplier's markers must contain the following information:

  • Name of supplier
  • Jurisdiction of origin
  • Weight of the bale or package
  • A unique bale or package number
  • Importer's name.

Transporting raw leaf tobacco

O.Reg 271/16 sets out requirements for transporting raw leaf tobacco, including how to provide advance notification to the ministry in certain situations.

In general, businesses transporting raw leaf tobacco (or paying for its transport) in Ontario must notify the ministry at least one business day in advance of their intent to transport it.

Where a producer's raw leaf tobacco is being returned from a dealer, the notice to transport from the dealer to the ministry is sufficient. However, a producer must make a record of all raw leaf tobacco returned from a dealer.

Failure to produce information or documents upon request by a ministry official that support the transport of raw leaf tobacco may result in penalties or fines.

Registrant notifications, including a bill of lading, should be:

Producers transporting raw leaf tobacco between registered locations

A producer is not required to notify the ministry in advance that they are transporting raw leaf tobacco between two of their permitted locations. However, the producer is required to keep a copy of their registration certificate in the vehicle(s) used to transport it.

Note: Possession of a producer's registration certificate is also required for anyone transporting on behalf of the producer.

Producers required to notify the ministry about additional locations

In limited circumstances (e.g., storage issues, fire, loss of power, etc.) where it is vital to move raw leaf tobacco to an unregistered location, producers must notify the ministry as soon as possible and at least 24 hours prior to moving it. All new locations are subject to inspection.

Once notice is received, the ministry may add the new location to the producer's listing of authorized locations, and where applicable, will issue an amended registration certificate.

Producers can notify the ministry by:

  • Phone: 1‑866‑ONT‑TAXS (1‑866‑668‑8297) extension 16160
  • Email: RLT@Ontario.ca, or
  • Fax: 905‑433‑6650

Dealers, processors and manufacturers

When transporting raw leaf tobacco, dealers, processors and manufacturers must:

  • keep a copy of all applicable registration certificates in the vehicle(s) being used to transport raw leaf tobacco, and
  • have a bill of lading (or uniform manifest form with a listing of information identifying the bales or packages and the marker numbers as required for a bill of landing) in the vehicle(s) used.

Note: Possession of the above documents applies to persons transporting on behalf of dealers, processors and manufacturers.

Failure to produce information or documents upon request by a ministry official may result in penalties or fines.

Dealers, processors and manufacturers must notify the ministry at least one business day before moving  raw leaf tobacco. Registrant notifications, including a bill of lading, should be:

Dealers, processors and manufacturers must ensure that all raw leaf tobacco delivered to receiving stations is weighed and recorded, including any unpurchased raw leaf tobacco being returned.

Importers/exporters

Under the Act, a person intending to bring raw leaf tobacco into, or take out of Ontario, must:

  • keep a copy of all applicable registration certificates issued in the vehicle(s) being used
  • have a bill of lading (or uniform manifest form with a listing of information identifying the bales or packages and the marker numbers as required for a bill of lading) in the vehicle(s) being used
  • provide information to the ministry about the particulars of the tobacco being imported or exported, and
  • provide information to the ministry that is sufficient to satisfy the Minister that the tobacco has been received in Ontario or taken out of Ontario.

Note: Possession of these documents also applies to persons transporting on behalf of importers and exporters.

The Minister requires that importers and exporters notify the ministry at least three business days before importing or exporting raw leaf tobacco.

Notifications should:

  • be faxed to: 905‑433‑6650, or
  • be emailed to: RLT@Ontario.ca, and
  • include confirmation of:
    • date of the import/export
    • point of entry or exit
    • export loading time
    • name and address of seller or purchaser
    • quantity and type of raw leaf tobacco to be imported/exported
    • importing/exporting jurisdiction
    • name and address of carrier.

Importers and exporters are required to submit supporting documentation (e.g., sales invoice, Bill of Lading and/or export declaration form), as soon as possible to the ministry, confirming that the import/export has taken place.

Importers must ensure all raw leaf tobacco delivered to receiving stations is weighed and recorded, including any unpurchased raw leaf tobacco being returned.

Interjurisdictional transporters

When transporting raw leaf tobacco, interjurisdictional transporters must:

  • keep a copy of all applicable registration certificates in the vehicle(s) being used, and
  • have a bill of lading (or uniform manifest form with a listing of information identifying the bales or packages and the marker numbers as required for a bill of lading) in the vehicle(s) being used.

Failure to produce information or documents while stopped or detained by a ministry official may result in penalties or fines.

Recordkeeping and reporting

Raw leaf tobacco registrants must maintain good records. They must produce the necessary records upon request to enable the ministry to have accurate and up to date determination of raw leaf tobacco produced, processed, sold, purchased, transported, imported or exported. Failure to do so may result in penalties or fines.

Records must document:

  • information from each bale or package marker
  • damaged, unused, lost or stolen markers, and where applicable, the ministry requests that the remnants of the markers be maintained with the record, and
  • details about waste, off grade, re ‑baled, re‑packaged, re‑worked, damaged, lost or stolen raw leaf tobacco (for example, but not limited to: date piled or re‑baled, weight or estimated weight of waste in the pile, kiln number where the waste was cured, reason for the waste, original bale(s) that make up the new bale or package, etc.).

Source documents must be available to verify the information in the records (for example, but not limited to: invoices, bill of lading; Uniform Manifest Form, evidence of contract for purchase, etc.).

Weights recorded on markers must match the weights documented in record books. The ministry recommends use of kilograms as the unit of measurement. To convert pounds to kilograms multiply the number of pounds by 0.454.

Waste and off‑grade raw leaf tobacco

The details of piled waste or off grade raw leaf tobacco must be documented in business record books. Include date piled, estimated weight, reason piled and source kiln or barn and bale or package.

Damaged, lost or stolen raw leaf tobacco

Under the Act, the Minister shall specify the information required for damaged, lost or stolen raw leaf tobacco.

Raw leaf tobacco registrants must:

  • notify the ministry of damaged, lost or stolen raw leaf tobacco within one day (after an incident occurs), and
  • submit all supporting documentation to the ministry as soon as those documents become available (e.g., copy of any police and/or insurance report, and proof of the insurance proceeds received in respect of the claim), if any.

All notifications and supporting documentation should be:

Consequences of non‑compliance

Ontario's Raw Leaf Tobacco Program includes a range of compliance and enforcement activities.

The Act provides for civil penalties and/or offence provisions for persons who fail to:

  • register
  • notify the ministry of a change to information previously provided
  • bale or package their raw leaf tobacco
  • label their raw leaf tobacco with a marker
  • report raw leaf tobacco activity in Ontario
  • possess documents when transporting raw leaf tobacco, and
  • notify the ministry prior to destroying raw leaf tobacco.

The Act also provides for civil penalties and offence provisions for persons who contravene a condition on their certificates. This includes increased penalties and fines for producers who exceed the limit to the number of acres they can plant in a crop year.

Additionally, ministry officials may seize raw leaf tobacco from persons not in compliance with the Act and regulations. This includes raw leaf tobacco not yet harvested. Where a producer plants more raw leaf tobacco than they are permitted, the ministry may allow the producer to cut down the raw leaf tobacco not yet harvested. Ministry inspectors may require that the cut down is supervised. All cut downs by the producer is at the risk and expense of the person subject to the seizure. If the ministry seizes and disposes of the raw leaf tobacco, it may recover any costs of removal or disposal from that person.

ONT-TAXS online now available

Raw leaf tobacco registrants are now able to submit forms and returns, order markers, and manage records using Ontario's online tax service, ONT-TAXS online.

Learn more about ONT-TAXS online.

Your opinion counts

If you have any comments or suggestions that could help us improve our web page, we would like to hear from you. Please send your comments to:

Ministry of Finance Advisory Services, Raw Leaf Tobacco 33 King Street West, 3rd Floor Oshawa ON L1H 8H5

Related publication

For more information or to notify the ministry

Ministry of Finance, Raw Leaf Tobacco Program

  • Phone: 1‑866‑ONT‑TAXS (1‑866‑668‑8297) extension 16160
  • Email: RLT@Ontario.ca
  • Fax: 905‑433‑6650

This page provides general information about the new requirements (more information can be found in the Tobacco Tax Act and Regulations).