An Act To Help Deter Youth Smoking and To Help Smokers Quit
Maine Legislature, Session 125, LD 0536
Committee: Taxation
Sponsors: FLEMINGS, ALFOND, BERRY, BRYANT, DILL, EVES, ROCHELO, SANBORN, CRAVEN
Amends: 36 MRSA §4365, 36 MRSA §4365-F, 36 MRSA §4365-G, 36 MRSA §4366-A

Legislative Document 
No. 536 
H.P. 419 
House of Representatives, February 15, 2011 
An Act To Help Deter Youth Smoking and To Help Smokers Quit 
(EMERGENCY) 
Reference to the Committee on Taxation suggested and ordered printed. 
HEATHER J.R. PRIEST 
Clerk 
Presented by Representative FLEMINGS of Bar Harbor. 
Cosponsored by Senator ALFOND of Cumberland and 
Representatives: BERRY of Bowdoinham, BRYANT of Windham, DILL of Cape Elizabeth, 
EVES of North Berwick, ROCHELO of Biddeford, SANBORN of Gorham, Senator: 
CRAVEN of Androscoggin. 
Emergency preamble. Whereas, acts and resolves of the Legislature do not 
become effective until 90 days after adjournment unless enacted as emergencies; and 
Whereas, this legislation needs to take effect before the expiration of the 90-day 
period in order to help prevent tobacco use by children and help smokers quit smoking; 
and 
Whereas, in the judgment of the Legislature, these facts create an emergency within 
the meaning of the Constitution of Maine and require the following legislation as 
immediately necessary for the preservation of the public peace, health and safety; now, 
therefore, 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1.  36 MRSA §4365, as amended by PL 2005, c. 457, Pt. AA, §1 and affected 
by §8, is further amended to read: 
§4365.  Rate of tax 
A tax is imposed on all cigarettes imported into this State or held in this State by any 
person for sale at the rate of 100 175 mills for each cigarette.  Payment of the tax is 
evidenced by the affixing of stamps to the packages containing the cigarettes. 
Sec. 2.  36 MRSA §4365-F, as enacted by PL 2005, c. 457, Pt. AA, §3 and 
affected by §8, is repealed. 
Sec. 3.  36 MRSA §4365-G is enacted to read: 
§4365-G.  Application of cigarette tax rate increase effective July 1, 2011 
The following provisions apply to cigarettes held for resale on July 1, 2011. 
1.  Stamped rate.  Cigarettes stamped at the rate of 100 mills per cigarette and held 
for resale after June 30, 2011 are subject to tax at the rate of 175 mills per cigarette. 
2.  Liability.  A person possessing cigarettes for resale is liable for the difference 
between the tax rate of 175 mills per cigarette and the tax rate of 100 mills per cigarette in 
effect before July 1, 2011.  Stamps indicating payment of the tax imposed by this section 
must be affixed to all packages of cigarettes held for resale as of July 1, 2011, except that 
cigarettes held in vending machines as of that date do not require that stamp. 
3.  Vending machines.  Notwithstanding any other provision of this chapter, it is 
presumed that all cigarette vending machines are filled to capacity on July 1, 2011 and 
that the tax imposed by this section must be reported on that basis.  A credit against this 
inventory tax must be allowed for cigarettes stamped at the rate of 175 mills per cigarette 
placed in vending machines before July 1, 2011. 
4.  Payment.  Payment of the tax imposed by this section must be made to the 
assessor by September 1, 2011, accompanied by forms prescribed by the assessor. 
Sec. 4.  36 MRSA §4366-A, sub-§2, ¶D, as amended by PL 2007, c. 438, §93, is 
further amended to read: 
D.  For stamps at the face value of 100 175 mills, the discount rate is 1.15% .75%. 
Sec. 5.  Appropriations and allocations.  The following appropriations and 
allocations are made. 
HEALTH AND HUMAN SERVICES, DEPARTMENT OF 
Health - Bureau of 0143 
Initiative: Provides funds for tobacco treatment counseling by a tobacco help line. 
Emergency clause.  In view of the emergency cited in the preamble, this 
legislation takes effect July 1, 2011. 
SUMMARY 
This bill increases the cigarette tax by $1.50 per package, from $2.00 to $3.50, to 
help deter the initial use of tobacco by youth.  It includes an appropriations and 
allocations section to fund operation of a tobacco help line to provide those tobacco users 
seeking to quit smoking a mechanism to do so. 
OTHER SPECIAL REVENUE FUNDS 
2011-12
2012-13
All Other 
$800,000
$400,000
OTHER SPECIAL REVENUE FUNDS TOTAL 
$800,000
$400,000