reglab/statecodes huggingface dataset:
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 1 - CIGARETTE TAX (§§ 39-28-101 — 39-28-116) › Section 39-28-110 - Distribution of tax collected

(1)
(a)
All money received and collected in payment of the tax imposed by this article 28, except license fees received under section
39-28-102
and the money collected pursuant to section
39-28-103.5
, shall be transmitted to the state treasurer who shall distribute the money as follows: Fifteen percent to the general fund and eighty-five percent to the old age pension fund.
(b)
The net revenue that is credited to the old age pension fund created in section 1 of article XXIV of the state constitution in accordance with subsection (1)(a) of this section and section 2 (a) of article XXIV of the state constitution is transferred to the general fund in accordance with section 7 (c) of article XXIV of the state constitution. Of this money or the fifteen percent that is directly credited to the general fund, the state treasurer shall transfer an amount equal to the total revenue that is attributable to the tax imposed under section
39-28-103.3
and the tax increase set forth in section
39-28-103
approved by the voters at the statewide election in November 2020 to the 2020 tax holding fund created in section
24-22-118(1)
.
(2)
All moneys received and collected in payment of the tax imposed pursuant to section
39-28-103.5
shall be transmitted to the state treasurer for deposit in the tobacco tax cash fund created in section
24-22-117
, C.R.S.
Amended by 2020 Ch. 248,§8, as passed by voters in the 11/3/2020 election in Proposition EE, eff. 1/1/2021.
L. 64: p. 825, § 10. C.R.S. 1963: § 138-8-10. L. 2005: Entire section amended, p. 909, § 8, effective June 2; entire section amended, p. 925, § 9, effective June 2.
Section 27(2) of chapter 248 (HB 20-1427), Session Laws of Colorado 2020, provides that changes to this section take effect on the date of the governor's proclamation or January 1, 2021, whichever is later, only if, at the November 2020 statewide election, a majority of voters approve the ballot issue referred in accordance with section 39-28-401. The ballot issue, referred to the voters as proposition EE, was approved on November 3, 2020, and was proclaimed by the Governor on December 31, 2020. The vote count for the measure was as follows:
FOR: 2,134,608
AGAINST: 1,025,182
(1) For the old age pension fund, see article XXIV of the state constitution and §26-2-115; for distribution to local governments of an amount from income tax proceeds equal to the cigarette tax, see §39-22-623. (2) For the legislative declaration contained in the 2005 act amending this section, see section 1 of chapter 241, Session Laws of Colorado 2005.
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 1 - CIGARETTE TAX (§§ 39-28-101 — 39-28-116) › Section 39-28-110.5 - Revenue and spending limitations

Notwithstanding any limitations on revenue, spending, or appropriations contained in section 20 of article X of the state constitution or any other provision of law, any revenue generated by the inventory tax imposed under section
39-28-103.3
and the per cigarette tax increase set forth in section
39-28-103
approved by the voters at the statewide election in November 2020, may be collected and spent as a voter-approved revenue change.
Added by 2020 Ch. 248, § 9, as passed by voters in the 11/3/2020 election in Proposition EE, eff. 1/1/2021.
L. 2020: Entire section added, (HB 20-1427), ch. 1191, p. 1191, § 9, effective 1/1/2021.
Section 27(2) of chapter 248 (HB 20-1427), Session Laws of Colorado 2020, provides that this section takes effect on the date of the governor's proclamation or January 1, 2021, whichever is later, only if, at the November 2020 statewide election, a majority of voters approve the ballot issue referred in accordance with section 39-28-401. The ballot issue, referred to the voters as proposition EE, was approved on November 3, 2020, and was proclaimed by the Governor on December 31, 2020. The vote count for the measure was as follows:
FOR: 2,134,608
AGAINST: 1,025,182
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 1 - CIGARETTE TAX (§§ 39-28-101 — 39-28-116) › Section 39-28-111 - Exempt sales

The sales of cigarettes to the United States government or any of its agencies, sales in interstate commerce, or transactions the taxation of which is prohibited by the constitution of the United States are exempted from the provisions of this article. Such exempt sales shall be reported to the department with such information as the department shall require.
L. 64: p. 825, § 11. C.R.S. 1963: § 138-8-11.
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 1 - CIGARETTE TAX (§§ 39-28-101 — 39-28-116) › Section 39-28-113 - [Repealed]

L. 64: p. 826, § 14. C.R.S. 1963: § 138-8-14. L. 76: Entire section amended, p. 319, § 78, effective May 20. L. 2004: Entire section amended, p. 1047, § 20, effective July 1. L. 2005: Entire section amended, p. 781, § 73, effective June 1. L. 2013: Entire section repealed, (HB 13-1144), ch. 304, p. 1615, § 2, effective July 1.
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 1 - CIGARETTE TAX (§§ 39-28-101 — 39-28-116) › Section 39-28-114 - Prohibited acts - penalties

It is unlawful for any wholesaler to sell and distribute any cigarettes in this state without a license or without first affixing the stamp, imprint, or impression upon each package of cigarettes, as provided for in this article, or to willfully make any false or fraudulent return, or false statement on any return, or to willfully evade the payment of the tax, or any part thereof, as imposed by this article. Any wholesaler, or agent thereof, who willfully violates any provision of this article shall be punished as provided by section
39-21-118
.
L. 64: p. 826, § 15. C.R.S. 1963: § 138-8-15. L. 85: Entire section amended, p. 1262, § 25, effective 1/1/1986.
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 1 - CIGARETTE TAX (§§ 39-28-101 — 39-28-116) › Section 39-28-115 - List of licensed wholesalers - published on website

On or before December 31, 2009, the department shall publish on its website a list of the names and addresses of all licensed wholesalers. The list shall be updated within seven days of any changes to the list.
L. 2009: Entire section added, (HB 09-1173), ch. 372, p. 2017, §4, effective August 5.
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 1 - CIGARETTE TAX (§§ 39-28-101 — 39-28-116) › Section 39-28-116 - Minimum price for cigarettes

(1)
On and after January 1, 2021, but before July 1, 2024, no person shall sell or offer for sale cigarettes to a consumer for less than seven dollars per package of twenty cigarettes or seventy dollars per carton of two hundred cigarettes, including all applicable taxes.
(2)
On and after July 1, 2024, no person shall sell or offer for sale cigarettes to a consumer for less than seven dollars and fifty cents per package of twenty cigarettes or seventy-five dollars per carton of two hundred cigarettes, including all applicable taxes.
(3)
A person who violates subsection (1) or (2) of this section, in addition to other penalties provided by law, shall be liable for a civil penalty in the following amounts:
(a)
Five hundred dollars for a first violation within a five-year period;
(b)
One thousand dollars for a second violation within a five-year period; and
(c)
One thousand five hundred dollars for a third violation within a five-year period.
(4)
No person shall be liable under this section for more than one violation of this section during a single day.
(5)
The department of revenue shall remit any civil penalties received pursuant to this section to the state treasurer for deposit in the tobacco tax enforcement cash fund created section
39-28-107 (1)(b)
.
(6)
In its annual June forecast, legislative council staff shall report an estimate for the current state fiscal year of the additional sales tax revenue that is attributable to the applicable minimum price set forth in this section. On June 30 of the fiscal year, the state treasurer shall transfer an amount equal to seventy-three percent of the legislative council staff estimate from the general fund to the preschool programs cash fund created in section
26.5-4-209
.
Amended by 2022 Ch. 123, § 131, eff. 7/1/2022.
Added by 2020 Ch. 248, § 10, as passed by voters in the 11/3/2020 election in Proposition EE, eff. 1/1/2021 .
L. 2020: Entire section added, (HB 20-1427), ch. 1191, p. 1191, § 10, effective 1/1/2021.
Section 27(2) of chapter 248 (HB 20-1427), Session Laws of Colorado 2020, provides that this section takes effect on the date of the governor's proclamation or January 1, 2021, whichever is later, only if, at the November 2020 statewide election, a majority of voters approve the ballot issue referred in accordance with section 39-28-401. The ballot issue, referred to the voters as proposition EE, was approved on November 3, 2020, and was proclaimed by the Governor on December 31, 2020. The vote count for the measure was as follows:
FOR: 2,134,608
AGAINST: 1,025,182
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 2 - TOBACCO ESCROW FUNDS (§§ 39-28-201 — 39-28-203) › Section 39-28-201 - Legislative declaration

(1)
The general assembly hereby finds, determines, and declares:
(a)
That cigarette smoking presents serious public health concerns to the state and to the citizens of the state. The surgeon general has determined that smoking causes lung cancer, heart disease and other serious diseases, and that there are hundreds of thousands of tobacco-related deaths in the United States each year. These diseases most often do not appear until many years after the person in question begins smoking.
(b)
That cigarette smoking also presents serious financial concerns for the state. Under certain health-care programs, the state may have a legal obligation to provide medical assistance to eligible persons for health conditions associated with cigarette smoking, and those persons may have a legal entitlement to receive such medical assistance.
(c)
That under these programs, the state pays millions of dollars each year to provide medical assistance for these persons for health conditions associated with cigarette smoking.
(d)
That it is the policy of the state that financial burdens imposed on the state by cigarette smoking be borne by tobacco product manufacturers rather than by the state to the extent that such manufacturers either determine to enter into a settlement with the state or are found culpable by the courts.
(e)
That on November 23, 1998, leading United States tobacco product manufacturers entered into a settlement agreement, entitled the "master settlement agreement," with the state. The master settlement agreement obligates these manufacturers, in return for a release of past, present and certain future claims against them as described therein, to pay substantial sums to the state, tied in part to their volume of sales; to fund a national foundation devoted to the interests of public health; and to make substantial changes in their advertising and marketing practices and corporate culture, with the intention of reducing underage smoking.
(f)
That it would be contrary to the policy of the state if tobacco product manufacturers who determine not to enter into such a settlement could use a resulting cost advantage to derive large, short-term profits in the years before liability may arise without ensuring that the state will have an eventual source of recovery from them if they are proven to have acted culpably. It is thus in the interest of the state to require that such manufacturers establish a reserve fund to guarantee a source of compensation and to prevent such manufacturers from deriving large, short-term profits and then becoming judgment-proof before liability may arise.
L. 99: Entire part added, p. 944, § 1, effective July 1.
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 3 - ADDITIONAL REQUIREMENTS FOR TOBACCO PRODUCT MANUFACTURERS AND STAMPING AGENTS (§§ 39-28-301 — 39-28-307) › Section 39-28-301 - Legislative declaration

(1)
The general assembly hereby finds and declares that:
(a)
Violations of the tobacco escrow funds act threaten the integrity of the master settlement agreement, the fiscal soundness of the state, and the public health.
(b)
Enacting procedural enhancements will aid the enforcement of the tobacco escrow funds act and thereby safeguard the master settlement agreement, the fiscal soundness of the state, and the public health.
(c)
The provisions of this part 3 are not intended to and shall not be interpreted to amend the tobacco escrow funds act.
L. 2003: Entire part added, p. 1752, § 1, effective May 14.
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 3 - ADDITIONAL REQUIREMENTS FOR TOBACCO PRODUCT MANUFACTURERS AND STAMPING AGENTS (§§ 39-28-301 — 39-28-307) › Section 39-28-302 - Definitions

As used in this part 3, unless the context otherwise requires:
(1)
"Brand family" means all styles of cigarettes sold under the same trade mark and differentiated from one another by means of additional modifiers or descriptors, including, but not limited to, "menthol", "lights", "kings", and "100s", and includes any brand name, alone or in conjunction with any other word, trademark, logo, symbol, motto, selling message, recognizable pattern of colors, or any other indicia of product identification identical or similar to, or identifiable with, a previously known brand of cigarettes.
(2)
"Cigarette" has the same meaning as set forth in section
39-28-202(4)
.
(3)
"Department" means the department of revenue.
(4)
"Master settlement agreement" has the same meaning as set forth in section
39-28-202(5)
.
(5)
"Nonparticipating manufacturer" means any tobacco product manufacturer that is not a participating manufacturer.
(6)
"Participating manufacturer" has the same meaning as set forth in section II (jj) of the master settlement agreement and all amendments thereto.
(7)
"Qualified escrow fund" has the same meaning as set forth in section
39-28-202(6)
.
(8)
"Stamping agent" means a person that is authorized to affix tax stamps to packages or other containers of cigarettes or tobacco products under section
39-28-104
or a person that is required to pay the tobacco products tax imposed pursuant to section
39-28.5-102
on roll-your-own tobacco for cigarettes.
(9)
"Tobacco control special fund" means a separate fund created by this part 3, the revenues of which do not pass through the general fund, and that will by used by the department for the enforcement of this part 3 and the tobacco escrow funds act.
(10)
"Tobacco escrow funds act" or "act" means those provisions that are referred to as the model act in the master settlement agreement and that are codified as part 2 of this article.
(11)
"Tobacco product manufacturer" has the same meaning as set forth in section
39-28-202(9)
.
(12)
"Units sold" has the same meaning as set forth in section
39-28-202(10)
.
L. 2003: Entire part added, p. 1752, § 1, effective May 14.
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 3 - ADDITIONAL REQUIREMENTS FOR TOBACCO PRODUCT MANUFACTURERS AND STAMPING AGENTS (§§ 39-28-301 — 39-28-307) › Section 39-28-304 - Agent for service of process

(1)
A nonresident or foreign nonparticipating manufacturer that has not registered to do business in the state as a foreign corporation or business entity shall, as a condition precedent to having its brand families listed or retained in the directory, appoint and continually engage without interruption the services of an agent in the state to act as an agent for the service of process on whom all process, and any action or proceeding against the nonparticipating manufacturer concerning or arising out of the enforcement of this part 3 and the tobacco escrow funds act, may be served in any manner authorized by law. Such service shall constitute legal and valid service of process on the nonparticipating manufacturer. The nonparticipating manufacturer shall provide the name, address, phone number, and proof of the appointment and availability of the agent to and to the satisfaction of the executive director of the department and the attorney general.
(2)
A nonparticipating manufacturer shall provide notice to the executive director of the department and the attorney general at least thirty calendar days prior to termination of the authority of an agent and shall further provide proof to the satisfaction of the attorney general of the appointment of a new agent at least five calendar days prior to the termination of an existing agent appointment. In the event an agent terminates an agency appointment, the nonparticipating manufacturer shall notify the executive director and the attorney general of the termination within five calendar days and shall include proof to the satisfaction of the attorney general of the appointment of a new agent.
(3)
A nonparticipating manufacturer whose products are sold in this state without appointing or designating an agent as herein required shall be deemed to have appointed the secretary of state as the agent and may be proceeded against in the courts of this state by service of process upon the secretary of state. However, the appointment of the secretary of state as the agent shall not satisfy the condition precedent to having the nonparticipating manufacturer's brand families listed or retained in the directory.
L. 2003: Entire part added, p. 1757, § 1, effective May 14.
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 3 - ADDITIONAL REQUIREMENTS FOR TOBACCO PRODUCT MANUFACTURERS AND STAMPING AGENTS (§§ 39-28-301 — 39-28-307) › Section 39-28-306 - Penalties and other remedies

(1)
License revocation and civil penalty.
In addition to or in lieu of any other civil or criminal remedy provided by law, upon a determination that a stamping agent has violated section
39-28-303(3)
or any rule adopted pursuant thereto, the executive director of the department may revoke or suspend the license of any stamping agent in the manner provided by sections
39-28-102(1)
and
39-28.5-104
. Each stamp affixed and each offer to sell cigarettes in violation of section
39-28-303(3)
shall constitute a separate violation. For each violation, the executive director may also impose a civil penalty in an amount not to exceed the greater of five hundred percent of the retail value of the cigarettes sold or five thousand dollars upon a determination of a violation of section
39-28-303(3)
or any rules adopted pursuant thereto.
(2)
Contraband and seizure.
Any cigarettes that have been sold, offered for sale, or possessed for sale in this state in violation of section
39-28-303(3)
shall be deemed a contraband article as defined by section
16-13-502(1)
, C.R.S. The cigarettes shall be subject to seizure and forfeiture as provided in the "Colorado Contraband Forfeiture Act", part 5 of article
13
of title
16
, C.R.S., and any cigarettes so seized and forfeited shall be destroyed and not resold.
(3)
Injunction.
The attorney general, on behalf of the department, may seek an injunction to restrain a threatened or actual violation of section
39-28-303(3)
or
39-28-305(1) or (4)
by a stamping agent and to compel the stamping agent to comply with those statutory provisions.
(4)
Unlawful sale and distribution.
It is unlawful for a person to sell, distribute, acquire, hold, own, possess, transport, import, or cause to be imported cigarettes that the person knows or should know are intended for distribution or sale in the state in violation of section
39-28-303(3)
. A violation of this section is a class 2 misdemeanor.
(5)
Colorado consumer protection act.
A person who violates section
39-28-303(3)
engages in an unfair and deceptive trade practice in violation of section
6-1-105
, C.R.S.
(6)
Disgorgement of profits for violations of this part 3.
If a court determines that a person has violated this part 3, the court shall order any profits, gain, gross receipts, or other benefit from the violation to be disgorged and paid to the state treasurer for deposit into the tobacco control special fund, which is hereby created. Unless otherwise expressly provided, the remedies or penalties provided by this part 3 are cumulative to each other and to the remedies or penalties available under all other laws of this state.
L. 2003: Entire part added, p. 1759, § 1, effective May 14.
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 3 - ADDITIONAL REQUIREMENTS FOR TOBACCO PRODUCT MANUFACTURERS AND STAMPING AGENTS (§§ 39-28-301 — 39-28-307) › Section 39-28-307 - Miscellaneous provisions

(1)
Notice and review of determination.
A determination of the department to not list or to remove from the directory a brand family or tobacco product manufacturer shall be subject to review in the manner prescribed by the "State Administrative Procedure Act", article
4
of title
24
, C.R.S.
(2)
Applicants for licenses.
No stamping agent for a license shall be issued a license or granted a renewal of a license unless the stamping agent has certified in writing, under penalty of perjury, that the stamping agent has in the past and will continue to comply fully with this part 3. No applicant for a license shall be issued a license unless the applicant has certified in writing, under penalty of perjury, that the stamping agent will fully comply with this section.
(3)
Repealed.
(4)
Promulgation of rules.
The department may promulgate rules necessary to effect the purposes of this statute. The department shall promulgate such rules in accordance with article
4
of title
24
, C.R.S.
(5)
Recovery of costs and fees by attorney general.
In any action brought by the state to enforce this part 3, the state shall be entitled to recover the costs of investigation, expert witness fees, costs of the action, and reasonable attorney fees.
(6)
Construction and severability.
If a court of competent jurisdiction finds that the provisions of this part 3 and of the tobacco escrow funds act conflict and cannot be harmonized, then the provisions of the tobacco escrow funds act shall control. If any provision of this part 3 causes the tobacco escrow funds act to no longer constitute a qualifying or model statute, as those terms are defined in the master settlement agreement, then that portion of this part 3 shall not be valid. If any provision of this part 3 is for any reason held to be invalid, unlawful, or unconstitutional, the decision shall not affect the validity of the remaining portions of this part 3 or any part thereof.
L. 2003: Entire part added, p. 1759, § 1, effective May 14. L. 2011: (3) repealed, (HB 11-1303), ch. 264, p. 1176, §95, effective August 10.
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 4 - SUBMISSION OF BALLOT ISSUE - CIGARETTES, TOBACCO PRODUCTS, AND NICOTINE PRODUCTS TAXES (§ 39-28-401) › Section 39-28-401 - Submission of ballot issue - increased tax on cigarettes and tobacco products - new tax on nicotine products - definition

(1)
As used in this section, "ballot issue" means the question referred to voters in subsection (2) of this section.
(2)
At the election held on November 3, 2020, the secretary of state shall submit to the registered electors of the state for their approval or rejection the following ballot issue: "Shall state taxes be increased by $294,000,000 annually by imposing a tax on nicotine liquids used in e-cigarettes and other vaping products that is equal to the total state tax on tobacco products when fully phased in, incrementally increasing the tobacco products tax by up to 22% of the manufacturer's list price, incrementally increasing the cigarette tax by up to 9 cents per cigarette, expanding the existing cigarette and tobacco taxes to apply to sales to consumers from outside of the state, establishing a minimum tax for moist snuff tobacco products, creating an inventory tax that applies for future cigarette tax increases, and initially using the tax revenue primarily for public school funding to help offset revenue that has been lost as a result of the economic impacts related to COVID-19 and then for programs that reduce the use of tobacco and nicotine products, enhance the voluntary Colorado preschool program and make it widely available for free, and maintain the funding for programs that currently receive revenue from tobacco taxes, with the state keeping and spending all of the new tax revenue as a voter-approved revenue change?"
(3)
For purposes of section
1-5-407
, the ballot issue is a proposition. Section
1-40-106(3)(d)
does not apply to the ballot issue.
(4)
Repealed.
Added by 2020 Ch. 248,§ 1, eff. 7/8/2020.
L. 2020: Entire part added, (HB 20-1427), ch. 1186, p. 1186, § 1, effective July 8.
(1) The ballot issue specified in this section was referred to the registered electors as Proposition EE on November 3, 2020. It was approved by the voters and proclaimed by the Governor on December 31, 2020, with the following vote count:
FOR: 2,134,608
AGAINST: 1,025,182
(2) Subsection (4)(b) provided for the repeal of subsection (4), effective July 1, 2021, if a majority of the electors voting on the ballot issue vote "Yes/For". (See L. 2020, p. 1186.)
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 5 - BALLOT ISSUE RELATED TO PROPOSITION EE REFUNDS - RATE REDUCTIONS - PERMITTED USES (§§ 39-28-501 — 39-28-506) › Section 39-28-501 - Definitions

As used in this part 5, unless the context otherwise requires:
(1)
"Ballot issue" means the ballot issue referred to the voters pursuant to section
39-28-502 (1)
.
(2)
"Proposition EE refund cash fund" or "fund" means the cash fund created in section
39-28-503
.
(3)
"Proposition EE tax revenue" means the actual revenue from proposition EE taxes received by the department.
(4)
"Proposition EE taxes" means the tax imposed by section
39-28.6-103
and the tax increases imposed by sections
39-28-103
and
39-28.5-102
that were approved by voters at the November 2020 statewide election.
Added by 2023 Ch. 337,§ 6, eff. 6/2/2023 (approved by voters in 11/7/2023 election).
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 5 - BALLOT ISSUE RELATED TO PROPOSITION EE REFUNDS - RATE REDUCTIONS - PERMITTED USES (§§ 39-28-501 — 39-28-506) › Section 39-28-502 - Ballot issue - proposition EE - later voter approval

(1)
At the election held on November 7, 2023, the secretary of state shall submit to the registered electors of the state for their approval or rejection the following ballot issue: "Without raising taxes, may the state retain and spend revenues from taxes on cigarettes, tobacco, and other nicotine products and maintain tax rates on cigarettes, tobacco, and other nicotine products and use these revenues to invest twenty-three million six hundred fifty thousand dollars to enhance the voluntary Colorado preschool program and make it widely available for free instead of reducing these tax rates and refunding revenues to cigarette wholesalers, tobacco product distributors, nicotine products distributors, and other taxpayers, for exceeding an estimate included in the ballot information booklet for proposition EE?".
(2)
If a majority of the electors voting on the ballot issue vote "Yes/For", this constitutes later voter approval to avoid the potential refund and rate reduction required by section 20 (3)(c) of article X of the state constitution.
(3)
For purposes of section
1-5-407 (5)(b)
, the ballot issue is a proposition. Section
1-40-106 (3)(d)
does not apply to the ballot issue.
Added by 2023 Ch. 337,§ 6, eff. 6/2/2023 (approved by voters in 11/7/2023 election).
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 5 - BALLOT ISSUE RELATED TO PROPOSITION EE REFUNDS - RATE REDUCTIONS - PERMITTED USES (§§ 39-28-501 — 39-28-506) › Section 39-28-503 - Proposition EE refund cash fund

The proposition EE refund cash fund is hereby created in the state treasury. In accordance with section
26.5-4-209 (6)
, the fund consists of twenty-three million six hundred fifty thousand dollars transferred from the preschool programs cash fund created in section
26.5-4-209
and, if applicable, the general fund. The money in the fund is restricted from use until January 1, 2024, and is not included in the year-end balance required by section
24-75-201.1 (1)(d)(XXIII)
.
Added by 2023 Ch. 337,§ 6, eff. 6/2/2023 (approved by voters in 11/7/2023 election).
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 5 - BALLOT ISSUE RELATED TO PROPOSITION EE REFUNDS - RATE REDUCTIONS - PERMITTED USES (§§ 39-28-501 — 39-28-506) › Section 39-28-504 - Approval of ballot issue - rejection of ballot issue - refunds

(1)
The general assembly hereby finds and declares that:
(a)
If a majority of the voters voting on the ballot issue vote "No/Against", the state will be required by section 20 (3)(c) of article X of the state constitution to make refunds; and
(b)
The amount of the refund would be twenty-three million six hundred fifty thousand dollars, which is the amount by which the proposition EE tax revenue in state fiscal year 2021-22 exceeded the ballot information booklet estimate of revenue from the proposition EE tax increase for that same fiscal year plus interest.
(2)
The department shall determine a reasonable method to distribute the revenue in the proposition EE refund cash fund created in section
39-28-503
in accordance with section 20 (3)(c) of article X of the state constitution. This method must include the distribution of money from the proposition EE refund cash fund to taxpayers who paid the proposition EE taxes.
(3)
(a)
If a majority of the electors voting on the ballot issue vote "No/Against", then on or before June 30, 2024, the state treasurer shall refund the money in the proposition EE refund cash fund in the manner determined by the department pursuant to subsection (2) of this section.
(b)
If a majority of the electors voting on the ballot issue vote "Yes/For", then, as soon as possible thereafter, the state treasurer shall transfer the balance in the proposition EE refund cash fund to the preschool programs cash fund created in section
26.5-4-209
and the general fund, in the same proportion as the state treasurer transferred money from the preschool programs cash fund and the general fund to the proposition EE refund cash fund.
Added by 2023 Ch. 337,§ 6, eff. 6/2/2023 (approved by voters in 11/7/2023 election).
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 5 - BALLOT ISSUE RELATED TO PROPOSITION EE REFUNDS - RATE REDUCTIONS - PERMITTED USES (§§ 39-28-501 — 39-28-506) › Section 39-28-505 - Rejection of ballot issue - rate reduction

(1)
If a majority of the electors voting on the ballot issue vote "No/Against", then the proposition EE taxes shall be reduced in a manner determined by the department so that the proposition EE taxes are reduced by eleven and fifty-three one-hundredths percent. This percentage is equal to the amount by which proposition EE tax revenue exceeded one hundred eighty-six million five hundred thousand dollars, with the excess amount divided by one hundred eighty-six million five hundred thousand dollars.
(2)
If a majority of the electors voting on the ballot issue vote "Yes/For", then the proposition EE taxes shall remain at the same rates as established by proposition EE.
Added by 2023 Ch. 337,§ 6, eff. 6/2/2023 (approved by voters in 11/7/2023 election).
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28 - Cigarette Tax (§§ 39-28-101 — 39-28-506) › Part 5 - BALLOT ISSUE RELATED TO PROPOSITION EE REFUNDS - RATE REDUCTIONS - PERMITTED USES (§§ 39-28-501 — 39-28-506) › Section 39-28-506 - Repeal of part

If a majority of the electors voting on the ballot issue vote "Yes/For", then this part 5 is repealed, effective July 1, 2024.
Added by 2023 Ch. 337,§ 6, eff. 6/2/2023 (approved by voters in 11/7/2023 election).
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28.5 - Tax on Tobacco Products (§§ 39-28.5-101 — 39-28.5-112) › Section 39-28.5-102.5 - Tax levied - state constitution

Pursuant to section 21 of article X of the state constitution, there is levied, in addition to the tax levied pursuant to section
39-28.5-102
, a tax on the sale, use, consumption, handling, or distribution of tobacco products by distributors and remote retail sellers, at a rate of twenty percent of the manufacturer's list price. The tax shall be paid to and collected by the department. The tax shall be imposed in the same manner as the tax described in section
39-28.5-102
.
Amended by 2023 Ch. 142,§ 3, eff. 1/1/2024.
L. 2005: Entire section added, p. 910, § 9, effective June 2; entire section added, p. 925, § 10, effective June 2.
2023 Ch. 142, was passed without a safety clause. See Colo. Const. art. V, § 1(3).
For the legislative declaration contained in the 2005 act enacting this section, see section 1 of chapter 241, Session Laws of Colorado 2005.
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28.5 - Tax on Tobacco Products (§§ 39-28.5-101 — 39-28.5-112) › Section 39-28.5-103 - Exempt sales

The tax imposed by section
39-28.5-102
shall not apply with respect to any tobacco products which, under the constitution and laws of the United States, may not be made the subject of taxation by this state. Such exempt sales shall be reported to the department with such information as the department shall require.
L. 86: Entire article added, p. 1114, § 13, effective July 1.
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28.5 - Tax on Tobacco Products (§§ 39-28.5-101 — 39-28.5-112) › Section 39-28.5-104.5 - Licensing of distributing subcontractors - rules - fines

(1)
It is unlawful for any person to engage in the business of a distributing subcontractor of tobacco products at any place of business without first obtaining a license granted and issued by the department, which license shall be in effect until June 30 following the date of issue, unless sooner revoked. Such license shall be granted only to a person who owns or operates the place from which the person engages in the business of a distributing subcontractor of tobacco products, and, if such business is operated in two or more separate places by any such person, a separate license for each place of business shall be required. Such license shall be renewed only upon timely application and payment of the required fee prior to expiration. Such licenses may be transferred in the discretion of and pursuant to the rules adopted by the department. The fee for a license shall be ten dollars per year, and such fee shall be credited to the wholesale and distributing subcontractor license fund created in section
39-28-102.5
. Such fee shall be reduced at the rate of two dollars and fifty cents for each expired quarter of the license year. The department shall, on reasonable notice and after a hearing, suspend or revoke the license of any person violating any provision of this article, and no license shall be issued to such person within a period of two years thereafter. The department may share information on the names and addresses of persons who purchased tobacco products for resale with the department of public health and environment and county and district public health agencies. The department shall refuse to issue a new or renewal distributor license and shall revoke a distributor's license, if the distributor owes the state any delinquent taxes administered by the department or interest thereon pursuant to this title that have been determined by law to be due and unpaid, unless the distributor has entered into an agreement approved by the department to pay the amount due. The department shall only issue a new or renewal distributing subcontractor license to a distributing subcontractor that has a current license issued pursuant to section
39-26-103
.
(2)
(Deleted by amendment, L. 2008, p. 185, § 4, effective August 5, 2008.)
L. 2005: Entire section added, p. 721, § 7, effective June 1. L. 2008: Entire section amended, p. 185, § 4, effective August 5. L. 2010: (1) amended, (HB 10 -1422), ch. 419, p. 2123, § 180, effective August 11.
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28.5 - Tax on Tobacco Products (§§ 39-28.5-101 — 39-28.5-112) › Section 39-28.5-108 - Distribution of tax collected

(1)
(a)
All money received and collected in payment of the tax imposed by this article 28.5, except license fees received under section
39-28.5-104
and the money collected pursuant to section
39-28.5-102.5
, shall be transmitted to the state treasurer, who shall distribute such money as follows: Fifteen percent to the general fund and eighty-five percent to the old age pension fund.
(b)
The net revenue that is credited to the old age pension fund created in section 1 of article XXIV of the state constitution in accordance with subsection (1)(a) of this section and section 2 (a) of article XXIV of the state constitution is transferred to the general fund in accordance with section 7 (c) of article XXIV of the state constitution. Of this money or the fifteen percent that is directly credited to the general fund, the state treasurer shall transfer an amount equal to the total revenue that is attributable to the tax increase set forth in section
39-28.5-102
, approved by the voters at the statewide election in November 2020, to the 2020 tax holding fund created in section
24-22-118 (1)
.
(2)
All moneys received and collected in payment of the tax imposed pursuant to section
39-28.5-102.5
and section 21 of article X of the state constitution shall be transmitted to the state treasurer for deposit in the tobacco tax cash fund created in section
24-22-117
, C.R.S.
Amended by 2020 Ch. 248, § 16, as passed by voters in the 11/3/2020 election in Proposition EE, eff. 1/1/2021.
L. 86: Entire article added, p. 1115, § 13, effective July 1. L. 2005: Entire section amended, p. 911, § 12, effective June 2; entire section amended, p. 926, § 13, effective June 2. L. 2020: (1) amended, (HB 20-1427), ch. 1196, p. 1196, § 16, effective 1/1/2021.
Section 27(2) of chapter 248 (HB 20-1427), Session Laws of Colorado 2020, provides that changes to this section take effect on the date of the governor's proclamation or January 1, 2021, whichever is later, only if, at the November 2020 statewide election, a majority of voters approve the ballot issue referred in accordance with section 39-28-401. The ballot issue, referred to the voters as proposition EE, was approved on November 3, 2020, and was proclaimed by the Governor on December 31, 2020. The vote count for the measure was as follows:
FOR: 2,134,608
AGAINST: 1,025,182
For the legislative declaration contained in the 2005 act amending this section, see section 1 of chapter 241, Session Laws of Colorado 2005.
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28.5 - Tax on Tobacco Products (§§ 39-28.5-101 — 39-28.5-112) › Section 39-28.5-108.5 - Revenue and spending limitations

Notwithstanding any limitations on revenue, spending, or appropriations contained in section 20 of article X of the state constitution or any other provision of law, any revenue generated by the tax increase set forth in section
39-28.5-102
, approved by the voters at the statewide election in November 2020, may be collected and spent as a voter-approved revenue change.
Added by 2020 Ch. 248, § 17, as passed by voters in the 11/3/2020 election in Proposition EE, eff. 1/1/2021.
L. 2020: Entire section added, (HB 20-1427), ch. 1196, p. 1196, § 17, effective 1/1/2021.
Section 27(2) of chapter 248 (HB 20-1427), Session Laws of Colorado 2020, provides that this section takes effect on the date of the governor's proclamation or January 1, 2021, whichever is later, only if, at the November 2020 statewide election, a majority of voters approve the ballot issue referred in accordance with section 39-28-401. The ballot issue, referred to the voters as proposition EE, was approved on November 3, 2020, and was proclaimed by the Governor on December 31, 2020. The vote count for the measure was as follows:
FOR: 2,134,608
AGAINST: 1,025,182
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28.5 - Tax on Tobacco Products (§§ 39-28.5-101 — 39-28.5-112) › Section 39-28.5-109 - Taxation by cities and towns

This article 28.5 does not prevent a statutory or home rule municipality, county, or city and county from imposing, levying, and collecting any special sales tax upon sales of cigarettes, tobacco products, or nicotine products, as that term is defined in section
18-13-121(5)
, or upon the occupation or privilege of selling cigarettes, tobacco products, or nicotine products. This article 28.5 does not affect any existing authority of local governments to impose a special sales tax on cigarettes, tobacco products, or nicotine products, in accordance with section
39-28-112
, to be used for local and governmental purposes.
Amended by 2019 Ch. 53,§ 7, eff. 7/1/2019.
L. 86: Entire article added, p. 1115, § 13, effective July 1.
2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › TOBACCO TAX (§§ 39-28-101 — 39-28.6-112) › Article 28.5 - Tax on Tobacco Products (§§ 39-28.5-101 — 39-28.5-112) › Section 39-28.5-110 - Prohibited acts - penalties

(1)
It is unlawful for any person to sell and distribute any tobacco products in this state without a license as required in section
39-28.5-104
, or to willfully make any false or fraudulent return or false statement on any return, or to willfully evade the payment of the tax, or any part thereof, as imposed by this article 28.5. Any distributor, remote retail seller, or agent thereof who willfully violates any provision of this article 28.5 shall be punished as provided by section
39-21-118
.
(2)
(a)
If a person neglects or refuses to make a return as required by this article and no amount of tax is due, the executive director of the department shall impose a penalty in the amount of twenty-five dollars.
(b)
If a person fails to pay the tax in the time allowed in section
39-28.5-106(2)
, a penalty equal to ten percent of such tax plus one-half of one percent per month from the date when due, not to exceed eighteen percent in the aggregate, together with interest on such delinquent taxes at the rate computed under section
39-21-110.5
, shall apply.
(c)
In computing and assessing the penalty, penalty interest, and interest pursuant to paragraph (b) of this subsection (2), the executive director of the department may make an estimate, based upon such information as may be available, of the amount of taxes due for the period for which the taxpayer is delinquent.
Amended by 2023 Ch. 142,§ 8, eff. 1/1/2024.
L. 86: Entire article added, p. 1116, § 13, effective July 1. L. 87: (2) R&RE, p. 1467, § 4, effective April 16.
2023 Ch. 142, was passed without a safety clause. See Colo. Const. art. V, § 1(3).