Cigarette Tax Act

The Cigarette Tax Act imposes an excise tax on cigarettes sold or distributed in the state, along with a companion tax on cigarette inventories held in stock, and provides for reduced rates and exemptions in defined circumstances. The tax is collected through a stamp system: stamps are sold to and affixed by licensed distributors, with rules for waiver of the affixing requirement, redemption of stamps, tax-credit stamps for tribal sales, and controls on the movement of unstamped cigarettes and cigarettes segregated for export. It also establishes licensing of manufacturers, distributors, and retail sellers, requires invoices, records, and periodic reports open to inspection by the taxing department, backs compliance with civil and criminal penalties including seizure and destruction of evidence, and directs portions of the revenue into county and municipal funds.

Editorial summary generated from the text of this act. It is not part of the statute — read the sections below for the operative language.