sales alone accounting for billions of dollars of lost 
Federal, State, and local tobacco tax revenue each 
year; 
(2) Hezbollah, Hamas, al Qaeda, and other ter-
rorist organizations have profited from trafficking in 
illegal cigarettes or counterfeit cigarette tax stamps; 
(3) terrorist involvement in illicit cigarette traf-
ficking will continue to grow because of the large 
profits such organizations can earn; 
(4) the sale of illegal cigarettes and smokeless 
tobacco over the Internet, and through mail, fax, or 
phone orders, make it cheaper and easier for chil-
dren to obtain tobacco products; 
(5) the majority of Internet and other remote 
sales of cigarettes and smokeless tobacco are being 
made without adequate precautions to protect 
against sales to children, without the payment of ap-
plicable taxes, and without complying with the nomi-
nal registration and reporting requirements in exist-
ing Federal law; 
(6) unfair competition from illegal sales of ciga-
rettes and smokeless tobacco is taking billions of dol-
lars of sales away from law-abiding retailers 
throughout the United States; 
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(7) with rising State and local tobacco tax 
rates, the incentives for the illegal sale of cigarettes 
and smokeless tobacco have increased; 
(8) the number of active tobacco investigations 
being conducted by the Bureau of Alcohol, Tobacco, 
Firearms, and Explosives rose to 452 in 2005; 
(9) the number of Internet vendors in the 
United States and in foreign countries that sell ciga-
rettes and smokeless tobacco to buyers in the United 
States has increased from only about 40 in 2000 to 
more than 500 in 2005; and 
(10) the intrastate sale of illegal cigarettes and 
smokeless tobacco over the Internet has a substan-
tial effect on interstate commerce. 
(c) PURPOSES.—It is the purpose of this Act to— 
(1) require Internet and other remote sellers of 
cigarettes and smokeless tobacco to comply with the 
same laws that apply to law-abiding tobacco retail-
ers; 
(2) create strong disincentives to illegal smug-
gling of tobacco products; 
(3) provide government enforcement officials 
with more effective enforcement tools to combat to-
bacco smuggling; 
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(4) make it more difficult for cigarette and 
smokeless tobacco traffickers to engage in and profit 
from their illegal activities; 
(5) increase collections of Federal, State, and 
local excise taxes on cigarettes and smokeless to-
bacco; and 
(6) prevent and reduce youth access to inexpen-
sive cigarettes and smokeless tobacco through illegal 
Internet or contraband sales. 
SEC. 2. COLLECTION OF STATE CIGARETTE AND SMOKE-
LESS TOBACCO TAXES. 
(a) DEFINITIONS.—The Act of October 19, 1949 (15 
U.S.C. 375 et seq.; commonly referred to as the ‘‘Jenkins 
Act’’) (referred to in this Act as the ‘‘Jenkins Act’’), is 
amended by striking the first section and inserting the fol-
lowing: 
‘‘SEC. 1. DEFINITIONS. 
‘‘As used in this Act, the following definitions apply: 
‘‘(1) ATTORNEY GENERAL.—The term ‘attorney 
general’, with respect to a State, means the attorney 
general or other chief law enforcement officer of the 
State, or the designee of that officer. 
‘‘(2) CIGARETTE.— 
‘‘(A) IN GENERAL.—For purposes of this 
Act, the term ‘cigarette’ shall— 
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‘‘(i) have the same meaning given that 
term in section 2341 of title 18, United 
States Code; and 
‘‘(ii) include ‘roll-your-own tobacco’ 
(as that term is defined in section 5702 of 
the Internal Revenue Code of 1986). 
‘‘(B) EXCEPTION.—For purposes of this 
Act, the term ‘cigarette’ does not include a 
‘cigar,’ as that term is defined in section 5702 
of the Internal Revenue Code of 1986. 
‘‘(3) COMMON
CARRIER.—The term ‘common 
carrier’ means any person (other than a local mes-
senger service or the United States Postal Service) 
that holds itself out to the general public as a pro-
vider for hire of the transportation by water, land, 
or air of merchandise, whether or not the person ac-
tually operates the vessel, vehicle, or aircraft by 
which the transportation is provided, between a port 
or place and a port or place in the United States. 
‘‘(4) CONSUMER.—The term ‘consumer’ means 
any person that purchases cigarettes or smokeless 
tobacco, but does not include any person lawfully op-
erating as a manufacturer, distributor, wholesaler, 
or retailer of cigarettes or smokeless tobacco. 
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‘‘(5) DELIVERY SALE.—The term ‘delivery sale’ 
means any sale of cigarettes or smokeless tobacco to 
a consumer if— 
‘‘(A) the consumer submits the order for 
such sale by means of a telephone or other 
method of voice transmission, the mails, or the 
Internet or other online service, or the seller is 
otherwise not in the physical presence of the 
buyer when the request for purchase or order is 
made; or 
‘‘(B) the cigarettes or smokeless tobacco 
are delivered by use of a common carrier, pri-
vate delivery service, or the mails, or the seller 
is not in the physical presence of the buyer 
when the buyer obtains possession of the ciga-
rettes or smokeless tobacco. 
‘‘(6) DELIVERY
SELLER.—The term ‘delivery 
seller’ means a person who makes a delivery sale. 
‘‘(7) INDIAN
COUNTRY.—The term ‘Indian 
country’ has the meaning given that term in section 
1151 of title 18, United States Code, except that 
within the State of Alaska that term applies only to 
the Metlakatla Indian Community, Annette Island 
Reserve. 
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‘‘(8) INDIAN TRIBE.—The term ‘Indian tribe’, 
‘tribe’, or ‘tribal’ refers to an Indian tribe as defined 
in section 4(e) of the Indian Self-Determination and 
Education Assistance Act (25 U.S.C. 450b(e)) or as 
listed pursuant to section 104 of the Federally Rec-
ognized Indian Tribe List Act of 1994 (25 U.S.C. 
479a–1). 
‘‘(9) 
INTERSTATE
COMMERCE.—The 
term 
‘interstate commerce’ means commerce between a 
State and any place outside the State, commerce be-
tween a State and any Indian country in the State, 
or commerce between points in the same State but 
through any place outside the State or through any 
Indian country. 
‘‘(10) PERSON.—The term ‘person’ means an 
individual, corporation, company, association, firm, 
partnership, society, State government, local govern-
ment, Indian tribal government, governmental orga-
nization of such government, or joint stock company. 
‘‘(11) STATE.—The term ‘State’ means each of 
the several States of the United States, the District 
of Columbia, the Commonwealth of Puerto Rico, or 
any territory or possession of the United States. 
‘‘(12) 
SMOKELESS
TOBACCO.—The 
term 
‘smokeless tobacco’ means any finely cut, ground, 
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powdered, or leaf tobacco, or other product con-
taining tobacco, that is intended to be placed in the 
oral or nasal cavity or otherwise consumed without 
being combusted. 
‘‘(13) TOBACCO
TAX
ADMINISTRATOR.—The 
term ‘tobacco tax administrator’ means the State, 
local, or tribal official duly authorized to collect the 
tobacco tax or administer the tax law of a State, lo-
cality, or tribe, respectively. 
‘‘(14) USE.—The term ‘use’, in addition to its 
ordinary meaning, means the consumption, storage, 
handling, or disposal of cigarettes or smokeless to-
bacco.’’. 
(b) REPORTS TO STATE TOBACCO TAX ADMINISTRA-
TORS.—Section 2 of the Jenkins Act (15 U.S.C. 376) is 
amended— 
(1) by striking ‘‘cigarettes’’ each place it ap-
pears and inserting ‘‘cigarettes or smokeless to-
bacco’’; 
(2) in subsection (a)— 
(A) in the matter preceding paragraph 
(1)— 
(i) by inserting ‘‘CONTENTS.—’’after 
‘‘(a)’’ 
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(ii) by striking ‘‘or transfers’’ and in-
serting ‘‘, transfers, or ships’’; 
(iii) by inserting ‘‘, locality, or Indian 
country of an Indian tribe’’ after ‘‘a 
State’’; 
(iv) by striking ‘‘to other than a dis-
tributor licensed by or located in such 
State,’’; and 
(v) by striking ‘‘or transfer and ship-
ment’’ and inserting ‘‘, transfer, or ship-
ment’’; 
(B) in paragraph (1)— 
(i) by striking ‘‘with the tobacco tax 
administrator of the State’’ and inserting 
‘‘with the Attorney General of the United 
States and with the tobacco tax adminis-
trators of the State and place’’; and 
(ii) by striking ‘‘; and’’ and inserting 
the following: ‘‘, as well as telephone num-
bers for each place of business, a principal 
electronic mail address, any website ad-
dresses, and the name, address, and tele-
phone number of an agent in the State au-
thorized to accept service on behalf of such 
person;’’; 
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(C) in paragraph (2), by striking ‘‘and the 
quantity thereof.’’ and inserting ‘‘the quantity 
thereof, and the name, address, and phone 
number of the person delivering the shipment to 
the recipient on behalf of the delivery seller, 
with all invoice or memoranda information re-
lating to specific customers to be organized by 
city or town and by zip code; and’’; and 
(D) by adding at the end the following: 
‘‘(3) with respect to each memorandum or in-
voice filed with a State under paragraph (2), also 
file copies of such memorandum or invoice with the 
tobacco tax administrators and chief law enforce-
ment officers of the local governments and Indian 
tribes operating within the borders of the State that 
apply their own local or tribal taxes on cigarettes or 
smokeless tobacco.’’; 
(3) in subsection (b)— 
(A) by inserting ‘‘PRESUMPTIVE
EVI-
DENCE.—’’ after ‘‘(b)’’; 
(B) by striking ‘‘(1) that’’ and inserting 
‘‘that’’; and 
(C) by striking ‘‘, and (2)’’ and all that 
follows and inserting a period; and 
(4) by adding at the end the following: 
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‘‘(c) USE OF INFORMATION.—A tobacco tax adminis-
trator or chief law enforcement officer who receives a 
memorandum or invoice under paragraph (2) or (3) of 
subsection (a) shall use such memorandum or invoice sole-
ly for the purposes of the enforcement of this Act and the 
collection of any taxes owed on related sales of cigarettes 
and smokeless tobacco, and shall keep confidential any 
personal information in such memorandum or invoice not 
otherwise required for such purposes.’’. 
(c) REQUIREMENTS
FOR DELIVERY SALES.—The 
Jenkins Act is amended by inserting after section 2 the 
following: 
‘‘SEC. 2A. DELIVERY SALES. 
‘‘(a) IN GENERAL.—With respect to delivery sales 
into a specific State and place, each delivery seller shall 
comply with— 
‘‘(1) the shipping requirements set forth in sub-
section (b); 
‘‘(2) the recordkeeping requirements set forth 
in subsection (c); 
‘‘(3) all State, local, tribal, and other laws gen-
erally applicable to sales of cigarettes or smokeless 
tobacco as if such delivery sales occurred entirely 
within the specific State and place, including laws 
imposing— 
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‘‘(A) excise taxes; 
‘‘(B) licensing and tax-stamping require-
ments; 
‘‘(C) restrictions on sales to minors; and 
‘‘(D) other payment obligations or legal re-
quirements relating to the sale, distribution, or 
delivery of cigarettes or smokeless tobacco; and 
‘‘(4) the tax collection requirements set forth in 
subsection (d). 
‘‘(b) SHIPPING AND PACKAGING.— 
‘‘(1) REQUIRED
STATEMENT.—For any ship-
ping package containing cigarettes or smokeless to-
bacco, the delivery seller shall include on the bill of 
lading, if any, and on the outside of the shipping 
package, on the same surface as the delivery ad-
dress, a clear and conspicuous statement providing 
as 
follows: 
‘CIGARETTES/SMOKELESS 
TO-
BACCO: FEDERAL LAW REQUIRES THE PAY-
MENT OF ALL APPLICABLE EXCISE TAXES, 
AND COMPLIANCE WITH APPLICABLE LI-
CENSING 
AND 
TAX-STAMPING 
OBLIGA-
TIONS’. 
‘‘(2) FAILURE TO LABEL.—Any shipping pack-
age described in paragraph (1) that is not labeled in 
accordance with that paragraph shall be treated as 
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nondeliverable matter by a common carrier or other 
delivery service, if the common carrier or other deliv-
ery service knows or should know the package con-
tains cigarettes or smokeless tobacco. If a common 
carrier or other delivery service believes a package is 
being submitted for delivery in violation of para-
graph (1), it may require the person submitting the 
package for delivery to establish that it is not being 
sent in violation of paragraph (1) before accepting 
the package for delivery. Nothing in this paragraph 
shall require the common carrier or other delivery 
service to open any package to determine its con-
tents. 
‘‘(3) WEIGHT RESTRICTION.—A delivery seller 
shall not sell, offer for sale, deliver, or cause to be 
delivered in any single sale or single delivery any 
cigarettes or smokeless tobacco weighing more than 
10 pounds. 
‘‘(4) AGE VERIFICATION.— 
‘‘(A) IN GENERAL.—Notwithstanding any 
other provision of law, a delivery seller who 
mails or ships tobacco products— 
‘‘(i) shall not sell, deliver, or cause to 
be delivered any tobacco products to a per-
son under the minimum age required for 
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the legal sale or purchase of tobacco prod-
ucts, as determined by the applicable law 
at the place of delivery; 
‘‘(ii) shall use a method of mailing or 
shipping that requires— 
‘‘(I) the purchaser placing the 
delivery sale order, or an adult who is 
at least the minimum age required for 
the legal sale or purchase of tobacco 
products, as determined by the appli-
cable law at the place of delivery, to 
sign to accept delivery of the shipping 
container at the delivery address; and 
‘‘(II) the person who signs to ac-
cept delivery of the shipping container 
to provide proof, in the form of a 
valid, government-issued identification 
bearing a photograph of the indi-
vidual, that the person is at least the 
minimum age required for the legal 
sale or purchase of tobacco products, 
as determined by the applicable law at 
the place of delivery; and 
‘‘(iii) shall not accept a delivery sale 
order from a person without— 
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‘‘(1) IN GENERAL.—Each delivery seller shall 
keep a record of any delivery sale, including all of 
the information described in section 2(a)(2), orga-
nized by the State, and within such State, by the 
city or town and by zip code, into which such deliv-
ery sale is so made. 
‘‘(2) RECORD RETENTION.—Records of a deliv-
ery sale shall be kept as described in paragraph (1) 
in the year in which the delivery sale is made and 
for the next 4 years. 
‘‘(3) ACCESS
FOR
OFFICIALS.—Records kept 
under paragraph (1) shall be made available to to-
bacco tax administrators of the States, to local gov-
ernments and Indian tribes that apply their own 
local or tribal taxes on cigarettes or smokeless to-
bacco, to the attorneys general of the States, to the 
chief law enforcement officers of such local govern-
ments and Indian tribes, and to the Attorney Gen-
eral of the United States in order to ensure the com-
pliance of persons making delivery sales with the re-
quirements of this Act. 
‘‘(d) DELIVERY.— 
‘‘(1) IN GENERAL.—Except as provided in para-
graph (2), no delivery seller may sell or deliver to 
any consumer, or tender to any common carrier or 
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other delivery service, any cigarettes or smokeless to-
bacco pursuant to a delivery sale unless, in advance 
of the sale, delivery, or tender— 
‘‘(A) any cigarette or smokeless tobacco ex-
cise tax that is imposed by the State in which 
the cigarettes or smokeless tobacco are to be 
delivered has been paid to the State; 
‘‘(B) any cigarette or smokeless tobacco 
excise tax that is imposed by the local govern-
ment of the place in which the cigarettes or 
smokeless tobacco are to be delivered has been 
paid to the local government; and 
‘‘(C) any required stamps or other indicia 
that such excise tax has been paid are properly 
affixed or applied to the cigarettes or smokeless 
tobacco. 
‘‘(2) EXCEPTION.—Paragraph (1) does not 
apply to a delivery sale of smokeless tobacco if the 
law of the State or local government of the place 
where the smokeless tobacco is to be delivered re-
quires or otherwise provides that delivery sellers col-
lect the excise tax from the consumer and remit the 
excise tax to the State or local government, and the 
delivery seller complies with the requirement. 
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‘‘(e) LIST OF UNREGISTERED OR NONCOMPLIANT 
DELIVERY SELLERS.— 
‘‘(1) IN GENERAL.— 
‘‘(A) INITIAL
LIST.—Not later than 90 
days after this subsection goes into effect under 
the Prevent All Cigarette Trafficking Act of 
2007, the Attorney General of the United 
States shall compile a list of delivery sellers of 
cigarettes or smokeless tobacco that have not 
registered with the Attorney General, pursuant 
to section 2(a) or that are otherwise not in 
compliance with this Act, and— 
‘‘(i) distribute the list to— 
‘‘(I) the attorney general and tax 
administrator of every State; 
‘‘(II) common carriers and other 
persons that deliver small packages to 
consumers in interstate commerce, in-
cluding the United States Postal Serv-
ice; and 
‘‘(III) at the discretion of the At-
torney General of the United States, 
to any other persons; and 
‘‘(ii) publicize and make the list avail-
able to any other person engaged in the 
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business of interstate deliveries or who de-
livers cigarettes or smokeless tobacco in or 
into any State. 
‘‘(B) LIST
CONTENTS.—To the extent 
known, the Attorney General of the United 
States shall include, for each delivery seller on 
the list described in subparagraph (A)— 
‘‘(i) all names the delivery seller uses 
in the transaction of its business or on 
packages delivered to customers; 
‘‘(ii) all addresses from which the de-
livery seller does business or ships ciga-
rettes or smokeless tobacco; 
‘‘(iii) the website addresses, primary 
e-mail address, and phone number of the 
delivery seller; and 
‘‘(iv) any other information that the 
Attorney General determines would facili-
tate compliance with this subsection by re-
cipients of the list. 
‘‘(C) UPDATING.—The Attorney General of 
the United States shall update and distribute 
the list at least once every 4 months, and may 
distribute the list and any updates by regular 
mail, electronic mail, or any other reasonable 
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means, or by providing recipients with access to 
the list through a nonpublic website that the 
Attorney General of the United States regularly 
updates. 
‘‘(D) STATE, LOCAL, OR
TRIBAL
ADDI-
TIONS.—The Attorney General of the United 
States shall include in the list under subpara-
graph (A) any noncomplying delivery sellers 
identified by any State, local, or tribal govern-
ment under paragraph (5), and shall distribute 
the list to the attorney general or chief law en-
forcement official and the tax administrator of 
any government submitting any such informa-
tion and to any common carriers or other per-
sons who deliver small packages to consumers 
identified by any government pursuant to para-
graph (5). 
‘‘(E) CONFIDENTIALITY.—The list distrib-
uted pursuant to subparagraph (A) shall be 
confidential, and any person receiving the list 
shall maintain the confidentiality of the list but 
may deliver the list, for enforcement purposes, 
to any government official or to any common 
carrier or other person that delivers tobacco 
products or small packages to consumers. Noth-
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ing in this section shall prohibit a common car-
rier, the United States Postal Service, or any 
other person receiving the list from discussing 
with the listed delivery sellers the delivery sell-
ers’ inclusion on the list and the resulting ef-
fects on any services requested by such listed 
delivery seller. 
‘‘(2) PROHIBITION ON DELIVERY.— 
‘‘(A) IN GENERAL.—Commencing on the 
date that is 60 days after the date of the initial 
distribution or availability of the list under 
paragraph (1)(A), no person who receives the 
list under paragraph (1), and no person who 
delivers cigarettes or smokeless tobacco to con-
sumers, shall knowingly complete, cause to be 
completed, or complete its portion of a delivery 
of any package for any person whose name and 
address are on the list, unless— 
‘‘(i) the person making the delivery 
knows or believes in good faith that the 
item does not include cigarettes or smoke-
less tobacco; 
‘‘(ii) the delivery is made to a person 
lawfully engaged in the business of manu-
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facturing, distributing, or selling cigarettes 
or smokeless tobacco; or 
‘‘(iii) the package being delivered 
weighs more than 100 pounds and the per-
son making the delivery does not know or 
have reasonable cause to believe that the 
package contains cigarettes or smokeless 
tobacco. 
‘‘(B) IMPLEMENTATION
OF
UPDATES.— 
Commencing on the date that is 30 days after 
the date of the distribution or availability of 
any updates or corrections to the list under 
paragraph (1), all recipients and all common 
carriers or other persons that deliver cigarettes 
or smokeless tobacco to consumers shall be sub-
ject to subparagraph (A) in regard to such cor-
rections or updates. 
‘‘(3) SHIPMENTS FROM PERSONS ON LIST.— 
‘‘(A) IN GENERAL.—In the event that a 
common carrier or other delivery service delays 
or interrupts the delivery of a package it has in 
its possession because it determines or has rea-
son to believe that the person ordering the de-
livery is on a list distributed under paragraph 
(1)— 
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‘‘(i) the person ordering the delivery 
shall be obligated to pay— 
‘‘(I) the common carrier or other 
delivery service as if the delivery of 
the package had been timely com-
pleted; and 
‘‘(II) if the package is not deliv-
erable, any reasonable additional fee 
or charge levied by the common car-
rier or other delivery service to cover 
its extra costs and inconvenience and 
to serve as a disincentive against such 
noncomplying delivery orders; and 
‘‘(ii) if the package is determined not 
to be deliverable, the common carrier or 
other delivery service shall, in its discre-
tion, either provide the package and its 
contents to a Federal, State, or local law 
enforcement agency or destroy the package 
and its contents. 
‘‘(B) RECORDS.—A common carrier or 
other delivery service shall maintain, for a pe-
riod of 5 years, any records kept in the ordi-
nary course of business relating to any deliv-
eries interrupted pursuant to this paragraph 
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and provide that information, upon request, to 
the Attorney General of the United States or to 
the attorney general or chief law enforcement 
official or tax administrator of any State, local, 
or tribal government. 
‘‘(C) CONFIDENTIALITY.—Any person re-
ceiving records under subparagraph (B) shall 
use such records solely for the purposes of the 
enforcement of this Act and the collection of 
any taxes owed on related sales of cigarettes 
and smokeless tobacco, and the person receiving 
records under subparagraph (B) shall keep con-
fidential any personal information in such 
records not otherwise required for such pur-
poses. 
‘‘(4) PREEMPTION.— 
‘‘(A) IN
GENERAL.—No State, local, or 
tribal government, nor any political authority of 
2 or more State, local, or tribal governments, 
may enact or enforce any law or regulation re-
lating to delivery sales that restricts deliveries 
of cigarettes or smokeless tobacco to consumers 
by common carriers or other delivery services 
on behalf of delivery sellers by— 
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‘‘(i) requiring that the common carrier 
or other delivery service verify the age or 
identity of the consumer accepting the de-
livery by requiring the person who signs to 
accept delivery of the shipping container to 
provide proof, in the form of a valid, gov-
ernment-issued identification bearing a 
photograph of the individual, that such 
person is at least the minimum age re-
quired for the legal sale or purchase of to-
bacco products, as determined by either 
State or local law at the place of delivery; 
‘‘(ii) requiring that the common car-
rier or other delivery service obtain a sig-
nature from the consumer accepting the 
delivery; 
‘‘(iii) requiring that the common car-
rier or other delivery service verify that all 
applicable taxes have been paid; 
‘‘(iv) requiring that packages delivered 
by the common carrier or other delivery 
service contain any particular labels, no-
tice, or markings; or 
‘‘(v) prohibiting common carriers or 
other delivery services from making deliv-
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eries on the basis of whether the delivery 
seller is or is not identified on any list of 
delivery sellers maintained and distributed 
by any entity other than the Federal Gov-
ernment. 
‘‘(B) RELATIONSHIP TO OTHER LAWS.— 
Nothing in this paragraph shall be construed to 
prohibit, expand, restrict, or otherwise amend 
or modify— 
‘‘(i) 
section 
14501(c)(1) 
or 
41713(b)(4) of title 49, United States 
Code; 
‘‘(ii) any other restrictions in Federal 
law on the ability of State, local, or tribal 
governments to regulate common carriers; 
or 
‘‘(iii) any provision of State, local, or 
tribal law regulating common carriers that 
falls within the provisions of chapter 49 of 
the 
United 
States 
Code, 
sections 
14501(c)(2) or 41713(b)(4)(B). 
‘‘(C) STATE LAWS PROHIBITING DELIVERY 
SALES.—Nothing in the Prevent All Cigarette 
Trafficking Act of 2007, or the amendments 
made by that Act, may be construed to preempt 
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or supersede State laws prohibiting the delivery 
sale, or the shipment or delivery pursuant to a 
delivery sale, of cigarettes or smokeless tobacco 
to individual consumers. 
‘‘(5) STATE, LOCAL, AND TRIBAL ADDITIONS.— 
‘‘(A) IN GENERAL.—Any State, local, or 
tribal government shall provide the Attorney 
General of the United States with— 
‘‘(i) all known names, addresses, 
website addresses, and other primary con-
tact information of any delivery seller that 
offers for sale or makes sales of cigarettes 
or smokeless tobacco in or into the State, 
locality, or tribal land but has failed to 
register with or make reports to the re-
spective tax administrator, as required by 
this Act, or that has been found in a legal 
proceeding to have otherwise failed to com-
ply with this Act; and 
‘‘(ii) a list of common carriers and 
other persons who make deliveries of ciga-
rettes or smokeless tobacco in or into the 
State, locality, or tribal lands. 
‘‘(B) UPDATES.—Any government pro-
viding a list to the Attorney General of the 
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date that is distributed or made available under 
paragraph (1) on or after the date that is 30 
days after the date on which the information is 
received by the Attorney General of the United 
States; and 
‘‘(B) distribute any such list or update to 
any common carrier or other person who makes 
deliveries of cigarettes or smokeless tobacco 
that has been identified and submitted by an-
other government, pursuant to paragraph (5). 
‘‘(7) NOTICE
TO
DELIVERY
SELLERS.—Not 
later than 14 days prior to including any delivery 
seller on the initial list distributed or made available 
under paragraph (1), or on any subsequent list or 
update for the first time, the Attorney General of 
the United States shall make a reasonable attempt 
to send notice to the delivery seller by letter, elec-
tronic mail, or other means that the delivery seller 
is being placed on such list or update, with that no-
tice citing the relevant provisions of this Act. 
‘‘(8) LIMITATIONS.— 
‘‘(A) IN GENERAL.—Any common carrier 
or other person making a delivery subject to 
this subsection shall not be required or other-
wise obligated to— 
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‘‘(i) determine whether any list dis-
tributed or made available under para-
graph (1) is complete, accurate, or up-to- 
date; 
‘‘(ii) determine whether a person or-
dering a delivery is in compliance with this 
Act; or 
‘‘(iii) open or inspect, pursuant to this 
Act, any package being delivered to deter-
mine its contents. 
‘‘(B) ALTERNATE
NAMES.—Any common 
carrier or other person making a delivery sub-
ject to this subsection shall not be required or 
otherwise obligated to make any inquiries or 
otherwise determine whether a person ordering 
a delivery is a delivery seller on the list under 
paragraph (1) who is using a different name or 
address in order to evade the related delivery 
restrictions, but shall not knowingly deliver any 
packages to consumers for any such delivery 
seller who the common carrier or other delivery 
service knows is a delivery seller who is on the 
list under paragraph (1) but is using a different 
name or address to evade the delivery restric-
tions of paragraph (2). 
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‘‘(C) PENALTIES.—Any common carrier or 
person in the business of delivering packages on 
behalf of other persons shall not be subject to 
any penalty under section 14101(a) of title 49, 
United States Code, or any other provision of 
law for— 
‘‘(i) not making any specific delivery, 
or any deliveries at all, on behalf of any 
person on the list under paragraph (1); 
‘‘(ii) not, as a matter of regular prac-
tice and procedure, making any deliveries, 
or any deliveries in certain States, of any 
cigarettes or smokeless tobacco for any 
person or for any person not in the busi-
ness of manufacturing, distributing, or 
selling cigarettes or smokeless tobacco; or 
‘‘(iii) delaying or not making a deliv-
ery for any person because of reasonable 
efforts to comply with this Act. 
‘‘(D) OTHER LIMITS.—Section 2 and sub-
sections (a), (b), (c), and (d) of this section 
shall not be interpreted to impose any respon-
sibilities, requirements, or liability on common 
carriers. 
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‘‘(f) PRESUMPTION.—For purposes of this Act, a de-
livery sale shall be deemed to have occurred in the State 
and place where the buyer obtains personal possession of 
the cigarettes or smokeless tobacco, and a delivery pursu-
ant to a delivery sale is deemed to have been initiated or 
ordered by the delivery seller.’’. 
(d) PENALTIES.—The Jenkins Act is amended by 
striking section 3 and inserting the following: 
‘‘SEC. 3. PENALTIES. 
‘‘(a) CRIMINAL PENALTIES.— 
‘‘(1) IN GENERAL.—Except as provided in para-
graph (2), whoever violates any provision of this Act 
shall be guilty of a felony and shall be imprisoned 
not more than 3 years, fined under title 18, United 
States Code, or both. 
‘‘(2) EXCEPTIONS.— 
‘‘(A) GOVERNMENTS.—Paragraph (1) shall 
not apply to a State, local, or tribal govern-
ment. 
‘‘(B) DELIVERY VIOLATIONS.—A common 
carrier or independent delivery service, or em-
ployee of a common carrier or independent de-
livery service, shall be subject to criminal pen-
alties under paragraph (1) for a violation of 
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section 2A(e) only if the violation is committed 
intentionally— 
‘‘(i) as consideration for the receipt 
of, or as consideration for a promise or 
agreement to pay, anything of pecuniary 
value; or 
‘‘(ii) for the purpose of assisting a de-
livery seller to violate, or otherwise evading 
compliance with, section 2A. 
‘‘(b) CIVIL PENALTIES.— 
‘‘(1) IN GENERAL.—Except as provided in para-
graph (3), whoever violates any provision of this Act 
shall be subject to a civil penalty in an amount not 
to exceed— 
‘‘(A) in the case of a delivery seller, the 
greater of— 
‘‘(i) $5,000 in the case of the first 
violation, or $10,000 for any other viola-
tion; or 
‘‘(ii) for any violation, 2 percent of 
the gross sales of cigarettes or smokeless 
tobacco of such person during the 1-year 
period ending on the date of the violation. 
‘‘(B) in the case of a common carrier or 
other delivery service, $2,500 in the case of a 
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first violation, or $5,000 for any violation with-
in 1 year of a prior violation. 
‘‘(2) RELATION TO OTHER PENALTIES.—A civil 
penalty under paragraph (1) for a violation of this 
Act shall be imposed in addition to any criminal 
penalty under subsection (a) and any other damages, 
equitable relief, or injunctive relief awarded by the 
court, including the payment of any unpaid taxes to 
the appropriate Federal, State, local, or tribal gov-
ernments. 
‘‘(3) EXCEPTIONS.— 
‘‘(A) DELIVERY
VIOLATIONS.—An em-
ployee of a common carrier or independent de-
livery service shall be subject to civil penalties 
under paragraph (1) for a violation of section 
2A(e) only if the violation is committed inten-
tionally— 
‘‘(i) as consideration for the receipt 
of, or as consideration for a promise or 
agreement to pay, anything of pecuniary 
value; or 
‘‘(ii) for the purpose of assisting a de-
livery seller to violate, or otherwise evading 
compliance with, section 2A. 
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‘‘(B) OTHER
LIMITATIONS.—No common 
carrier or independent delivery service shall be 
subject to civil penalties under paragraph (1) 
for a violation of section 2A(e) if— 
‘‘(i) the common carrier or inde-
pendent delivery service has implemented 
and enforces effective policies and practices 
for complying with that section; or 
‘‘(ii) an employee of the common car-
rier or independent delivery service who 
physically receives and processes orders, 
picks up packages, processes packages, or 
makes deliveries, takes actions that are 
outside the scope of employment of the em-
ployee in the course of the violation, or 
that violate the implemented and enforced 
policies of the common carrier or inde-
pendent delivery service described in clause 
(i).’’. 
(e) ENFORCEMENT.—The Jenkins Act is amended by 
striking section 4 and inserting the following: 
‘‘SEC. 4. ENFORCEMENT. 
‘‘(a) IN
GENERAL.—The United States district 
courts shall have jurisdiction to prevent and restrain viola-
tions of this Act and to provide other appropriate injunc-
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tive or equitable relief, including money damages, for such 
violations. 
‘‘(b) AUTHORITY OF THE ATTORNEY GENERAL.— 
The Attorney General of the United States shall admin-
ister and enforce the provisions of this Act. 
‘‘(c) STATE, LOCAL, AND TRIBAL ENFORCEMENT.— 
‘‘(1) IN GENERAL.— 
‘‘(A) STANDING.—A State, through its at-
torney general (or a designee thereof), or a 
local government or Indian tribe that levies a 
tax subject to section 2A(a)(3), through its 
chief law enforcement officer (or a designee 
thereof), may bring an action in a United 
States district court to prevent and restrain vio-
lations of this Act by any person (or by any 
person controlling such person) or to obtain any 
other appropriate relief from any person (or 
from any person controlling such person) for 
violations of this Act, including civil penalties, 
money damages, and injunctive or other equi-
table relief. 
‘‘(B) SOVEREIGN IMMUNITY.—Nothing in 
this Act shall be deemed to abrogate or con-
stitute a waiver of any sovereign immunity of a 
State or local government or Indian tribe 
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against any unconsented lawsuit under this Act, 
or otherwise to restrict, expand, or modify any 
sovereign immunity of a State or local govern-
ment or Indian tribe. 
‘‘(2) PROVISION
OF
INFORMATION.—A State, 
through its attorney general, or a local government 
or Indian tribe that levies a tax subject to section 
2A(a)(3), through its chief law enforcement officer 
(or a designee thereof), may provide evidence of a 
violation of this Act by any person not subject to 
State, local, or tribal government enforcement ac-
tions for violations of this Act to the Attorney Gen-
eral of the United States or a United States attor-
ney, who shall take appropriate actions to enforce 
the provisions of this Act. 
‘‘(3) USE OF PENALTIES COLLECTED.— 
‘‘(A) IN GENERAL.—There is established a 
separate account in the Treasury known as the 
‘PACT 
Anti-Trafficking 
Fund’. 
Notwith-
standing any other provision of law and subject 
to subparagraph (B), an amount equal to 50 
percent of any criminal and civil penalties col-
lected by the United States Government in en-
forcing the provisions of this Act shall be trans-
ferred into the PACT Anti-Trafficking Fund 
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and shall be available to the Attorney General 
of the United States for purposes of enforcing 
the provisions of this Act and other laws relat-
ing to contraband tobacco products. 
‘‘(B) ALLOCATION
OF
FUNDS.—Of the 
amount available to the Attorney General under 
subparagraph (A), not less than 50 percent 
shall be made available only to the agencies and 
offices within the Department of Justice that 
were responsible for the enforcement actions in 
which the penalties concerned were imposed or 
for any underlying investigations. 
‘‘(4) NONEXCLUSIVITY OF REMEDY.— 
‘‘(A) IN
GENERAL.—The remedies avail-
able under this section and section 3 are in ad-
dition to any other remedies available under 
Federal, State, local, tribal, or other law. 
‘‘(B) STATE COURT PROCEEDINGS.—Noth-
ing in this Act shall be construed to expand, re-
strict, or otherwise modify any right of an au-
thorized State official to proceed in State court, 
or take other enforcement actions, on the basis 
of an alleged violation of State or other law. 
‘‘(C) 
TRIBAL
COURT
PROCEEDINGS.— 
Nothing in this Act shall be construed to ex-
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pand, restrict, or otherwise modify any right of 
an authorized Indian tribal government official 
to proceed in tribal court, or take other enforce-
ment actions, on the basis of an alleged viola-
tion of tribal law. 
‘‘(D) 
LOCAL
GOVERNMENT
ENFORCE-
MENT.—Nothing in this Act shall be construed 
to expand, restrict, or otherwise modify any 
right of an authorized local government official 
to proceed in State court, or take other enforce-
ment actions, on the basis of an alleged viola-
tion of local or other law. 
‘‘(d) PERSONS DEALING IN TOBACCO PRODUCTS.— 
Any person who holds a permit under section 5712 of the 
Internal Revenue Code of 1986 (regarding permitting of 
manufacturers and importers of tobacco products and ex-
port warehouse proprietors) may bring an action in a 
United States district court to prevent and restrain viola-
tions of this Act by any person (or by any person control-
ling such person) other than a State, local, or tribal gov-
ernment. 
‘‘(e) NOTICE.— 
‘‘(1) PERSONS
DEALING
IN
TOBACCO
PROD-
UCTS.—Any person who commences a civil action 
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under subsection (d) shall inform the Attorney Gen-
eral of the United States of the action. 
‘‘(2) STATE, LOCAL, AND TRIBAL ACTIONS.—It 
is the sense of Congress that the attorney general of 
any State, or chief law enforcement officer of any lo-
cality or tribe, that commences a civil action under 
this section should inform the Attorney General of 
the United States of the action. 
‘‘(f) PUBLIC NOTICE.— 
‘‘(1) IN GENERAL.—The Attorney General of 
the United States shall make available to the public, 
by posting such information on the Internet and by 
other appropriate means, information regarding all 
enforcement actions undertaken by the Attorney 
General or United States attorneys, or reported to 
the Attorney General, under this section, including 
information regarding the resolution of such actions 
and how the Attorney General and the United States 
attorney have responded to referrals of evidence of 
violations pursuant to subsection (c)(2). 
‘‘(2) REPORTS
TO
CONGRESS.—The Attorney 
General shall submit to Congress each year a report 
containing the information described in paragraph 
(1).’’. 
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SEC. 3. TREATMENT OF CIGARETTES AND SMOKELESS TO-
BACCO AS NONMAILABLE MATTER. 
Section 1716 of title 18, United States Code, is 
amended— 
(1) by redesignating subsections (j) and (k) as 
subsections (k) and (l), respectively; and 
(2) by inserting after subsection (i) the fol-
lowing: 
‘‘(j) TOBACCO PRODUCTS.— 
‘‘(1) PROHIBITION.— 
‘‘(A) IN GENERAL.—Except as provided in 
subparagraphs (C) and (D), all cigarettes (as 
that term is defined in section 1(2) of the Act 
of October 19, 1949 (15 U.S.C. 375; commonly 
referred to as the ‘Jenkins Act’)) and smokeless 
tobacco (as that term is defined in section 
1(12) of that Act), are nonmailable and shall 
not be deposited in or carried through the 
mails. The United States Postal Service shall 
not accept for delivery or transmit through the 
mails any package that it knows or has reason-
able cause to believe contains any cigarettes or 
smokeless tobacco made nonmailable by this 
subsection. 
‘‘(B) REASONABLE CAUSE TO BELIEVE.— 
For purposes of this section, notification to the 
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United States Postal Service by the Attorney 
General, a United States attorney, or a State 
Attorney General that an individual or entity is 
primarily engaged in the business of transmit-
ting cigarettes or smokeless tobacco made non-
mailable by this section shall constitute reason-
able cause to believe that any packages pre-
sented to the United States Postal Service by 
such individual or entity contain nonmailable 
cigarettes or smokeless tobacco. 
‘‘(C) CIGARS.—Subparagraph (A) shall not 
apply to cigars (as that term is defined in sec-
tion 5702(a) of the Internal Revenue Code of 
1986). 
‘‘(D) GEOGRAPHIC EXCEPTION.—Subpara-
graph (A) shall not apply to mailings within or 
into any State that is not contiguous with at 
least 1 other State of the United States. For 
purposes of this paragraph, ‘State’ means any 
of the 50 States or the District of Columbia. 
‘‘(2) PACKAGING EXCEPTIONS INAPPLICABLE.— 
Subsection (b) shall not apply to any tobacco prod-
uct made nonmailable by this subsection. 
‘‘(3) SEIZURE
AND
FORFEITURE.—Any ciga-
rettes or smokeless tobacco made nonmailable by 
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this subsection that are deposited in the mails shall 
be subject to seizure and forfeiture, and any tobacco 
products so seized and forfeited shall either be de-
stroyed or retained by Government officials for the 
detection or prosecution of crimes or related inves-
tigations and then destroyed. 
‘‘(4) ADDITIONAL PENALTIES.—In addition to 
any other fines and penalties imposed by this chap-
ter for violations of this section, any person violating 
this subsection shall be subject to an additional pen-
alty in the amount of 10 times the retail value of the 
nonmailable cigarettes or smokeless tobacco, includ-
ing all Federal, State, and local taxes. 
‘‘(5) USE OF PENALTIES.—There is established 
a separate account in the Treasury known as the 
‘PACT Postal Service Fund’. Notwithstanding any 
other provision of law, an amount equal to 50 per-
cent of any criminal and civil fines or monetary pen-
alties collected by the United States Government in 
enforcing the provisions of this subsection shall be 
transferred into the PACT Postal Service Fund and 
shall be available to the Postmaster General for the 
purpose of enforcing the provisions of this sub-
section.’’. 
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SEC. 4. COMPLIANCE WITH MODEL STATUTE OR QUALI-
FYING STATUTE. 
(a) IN GENERAL.—A Tobacco Product Manufacturer 
or importer may not sell in, deliver to, or place for delivery 
sale, or cause to be sold in, delivered to, or placed for deliv-
ery sale in a State that is a party to the Master Settlement 
Agreement, any cigarette manufactured by a Tobacco 
Product Manufacturer that is not in full compliance with 
the terms of the Model Statute or Qualifying Statute en-
acted by such State requiring funds to be placed into a 
qualified escrow account under specified conditions, or any 
regulations promulgated pursuant to such statute. 
(b) JURISDICTION TO PREVENT AND RESTRAIN VIO-
LATIONS.— 
(1) IN GENERAL.—The United States district 
courts shall have jurisdiction to prevent and restrain 
violations of subsection (a) in accordance with this 
subsection. 
(2) INITIATION OF ACTION.—A State, through 
its attorney general, may bring an action in the 
United States district courts to prevent and restrain 
violations of subsection (a) by any person (or by any 
person controlling such person). 
(3) ATTORNEY
FEES.—In any action under 
paragraph (2), a State, through its attorney general, 
shall be entitled to reasonable attorney fees from a 
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person found to have willfully and knowingly violated 
subsection (a). 
(4) NONEXCLUSIVITY OF REMEDIES.—The rem-
edy available under paragraph (2) is in addition to 
any other remedies available under Federal, State, 
or other law. No provision of this Act or any other 
Federal law shall be held or construed to prohibit or 
preempt the Master Settlement Agreement, the 
Model Statute (as defined in the Master Settlement 
Agreement), any legislation amending or complemen-
tary to the Model Statute in effect as of June 1, 
2006, or any legislation substantially similar to such 
existing, amending, or complementary legislation 
hereinafter enacted. 
(5) OTHER ENFORCEMENT ACTIONS.—Nothing 
in this subsection shall be construed to prohibit an 
authorized State official from proceeding in State 
court or taking other enforcement actions on the 
basis of an alleged violation of State or other law. 
(6) AUTHORITY
OF
THE
ATTORNEY
GEN-
ERAL.—The Attorney General of the United States 
may administer and enforce subsection (a). 
(c) DEFINITIONS.—In this section the following defi-
nitions apply: 
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