Teen Tobacco Use Prevention Act of 1998

Teen Tobacco Use Prevention Act of 1998 - Amends the Federal Food, Drug, and Cosmetic Act to mandate regulations requiring tobacco product manufacturers to include on package labels the amount of tar, nicotine, and carbon monoxide produced by the products. Authorizes regulations requiring that tobacco product labels include other constituents if the Secretary of Health and Human Services determines it necessary for the protection of public health.

Mandates specified label and advertising warnings regarding cigarette and smokeless tobacco. Requires specified intended use statements in cigarette and cigarette tobacco advertisements. Prohibits any other label or advertising requirement regarding any statement concerning cigarettes or smokeless tobacco and health.

Exempts cigarettes and smokeless tobacco manufactured, imported, or packaged for export from this Act's requirements.

Prohibits manufacturers, distributors, and retailers from distributing any tobacco product through a vending machine, except in facilities where no individuals under 18 are permitted to enter. Directs the Secretary to monitor compliance for two years.

Prohibits the sale or distribution of a tobacco product to an individual under 18 (or such higher age as is set by State law). Mandates retailer verification of age of any individual under 26 by photo identification, except for face-to-face transactions conducted in accordance with State law. Mandates first offense warnings and subsequent violation civil monetary penalties for retailers. Mandates State enforcement, including random, unannounced inspections. Allows reduction in the amount of a grant to a noncomplying State under specified provisions of the Public Health Service Act.

Prohibits the distribution and sale of individual cigarettes and of packages of less than 20 cigarettes. Prohibits the distribution of samples of cigarettes. Provides for penalties.

Prohibits distribution of a tobacco product through the mail unless the Secretary approves a plan to ensure that the product will only go to individuals over 17. Directs the Secretary to monitor mail distributions for two years. Provides for penalties.

Directs the Secretary to report to the Congress on the average annual underage daily use of tobacco. Sets national underage percentage reduction goals. Directs the Secretary to determine whether the goals have been met and, if not, to make recommendations to the Congress regarding different reduction goals.