Senate Bill No. 527–Committee on Taxation

 

March 26, 2001

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Referred to Committee on Taxation

 

SUMMARY—Revises provisions governing licensing of cigarette dealers and taxation of cigarettes. (BDR 32‑1326)

 

FISCAL NOTE:    Effect on Local Government: No.

                                 Effect on the State: Yes.

 

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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

AN ACT relating to cigarettes; exempting duty-free sales enterprises and persons importing cigarettes for personal use from provisions governing the licensing of cigarette dealers and the taxation of cigarettes; providing that cigarette revenue stamps must identify the dealer who affixed the stamps; requiring certain dealers to file certificates regarding cigarettes imported into the United States; providing a penalty; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

1-1    Section 1. NRS 370.070 is hereby amended to read as follows:

1-2    370.070  The provisions of NRS 370.001 to 370.430, inclusive, do not

1-3  apply to [common] :

1-4    1.  Common carriers while engaged in interstate commerce which sell

1-5  or furnish cigarettes on their trains, buses or airplanes[.] ;

1-6    2.  A person entering this state with a quantity of cigarettes for

1-7  household or personal use which is exempt from federal import duty; and

1-8    3.  A duty-free sales enterprise as defined in 19 U.S.C. §

1-9  1555(b)(8)(D) that:

1-10    (a) Operates pursuant to the provisions of 19 U.S.C. § 1555(b); and

1-11    (b) To the extent it sells cigarettes, only sells cigarettes that are duty-

1-12  free merchandise as defined in 19 U.S.C. § 1555(b)(8)(E).

1-13    Sec. 2.  NRS 370.180 is hereby amended to read as follows:

1-14    370.180  1.  The department shall:

1-15    (a) Design [a suitable stamp or] suitable stamps for the purpose of this

1-16  chapter[.] which meet the requirements of this section; and

1-17    (b) From time to time, have as many revenue stamps printed as may be

1-18  required.

1-19    2.  Each stamp must be designed to permit the identification of the

1-20  dealer who affixed the stamp to a package or other container of

2-1  cigarettes. The dealer must be identified by a number or other mark on

2-2  the stamp. The department shall maintain, for not less than 3 years after

2-3  the date the stamp is provided to the dealer, a record of the information

2-4  necessary to identify the dealer by examining the stamp. Upon request,

2-5  the department shall provide to any person the information maintained

2-6  pursuant to this subsection.

2-7    3.  The use of a metered stamping machine approved by and registered

2-8  with the department shall be subject to such regulations as prescribed by

2-9  the department.

2-10    Sec. 3.  NRS 370.240 is hereby amended to read as follows:

2-11    370.240  1.  Each dealer authorized to purchase or affix cigarette

2-12  revenue stamps shall report to the department:

2-13    (a) The inventory of all cigarettes in his possession or control at the

2-14  close of business on the last day of each month.

2-15    (b) The total value of all cigarette revenue stamps affixed by him upon

2-16  cigarette packages sold in or shipped into the state by him during the

2-17  preceding month.

2-18    2.  The report must be made by the 25th day of the month following

2-19  shipments upon forms to be provided by the department.

2-20    3.  The dealer may be allowed 5 additional days to file his report, if he

2-21  makes prior written application to the department and the department finds

2-22  good cause for extension.

2-23    4.  If, during the preceding month, the dealer affixed cigarette

2-24  revenue stamps upon cigarette packages imported into the United States,

2-25  he shall file with the report a copy of each certificate submitted pursuant

2-26  to 19 U.S.C. § 1681a(c) with regard to the cigarette packages.

2-27    Sec. 4.  The amendatory provisions of this act do not apply to offenses

2-28  committed before July 1, 2001.

2-29    Sec. 5.  This act becomes effective on July 1, 2001.

 

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