reglab/statecodes huggingface dataset:
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-83 - Inclusion of unregistered nonresident or foreign manufacturers in directory--Service of process--Information to be provided to secretary.

10-50-83. Inclusion of unregistered nonresident or foreign manufacturers in directory--Service of process--Information to be provided to secretary.
Any 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 United States to act as agent for the service of process upon whom all process, and any action or proceeding against it concerning or arising out of the enforcement of §§10-50-72 to 10-50-92, inclusive, and chapter 10-50B, may be served in any manner authorized by law. Service under this section constitutes 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 secretary.
Source:
SL 2003, ch 74, §12.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-84 - Notice to secretary of agent's authority--Termination or appointment of agent.

10-50-84. Notice to secretary of agent's authority--Termination or appointment of agent.
A nonparticipating manufacturer shall provide notice to the secretary thirty calendar days prior to termination of the authority of an agent established by §10-50-83 and shall further provide proof to the satisfaction of the secretary of the appointment of a new agent no less than five calendar days prior to the termination of an existing agent appointment. If an agent terminates an agency appointment, the nonparticipating manufacturer shall notify the secretary of the termination within five calendar days and shall include proof to the satisfaction of the secretary of the appointment of a new agent.
Source:
SL 2003, ch 74, §13.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-85 - Service upon secretary of state in lieu of appointed or designated agent--Such service does not constitute compliance.

10-50-85. Service upon secretary of state in lieu of appointed or designated agent--Such service does not constitute compliance.
Any nonparticipating manufacturer whose products are sold in this state without appointing or designating an agent as required by §§10-50-72 to 10-50-92, inclusive, shall be deemed to have appointed the secretary of state as its agent and may be proceeded against in courts of this state by service of process upon the secretary of state. However, the appointment of the secretary of state as its agent does not constitute compliance for the purpose of having a nonparticipating manufacturer or its brand families listed or retained in the directory.
Source:
SL 2003, ch 74, §14.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-86 - Disclosure of information to attorney general--Inter-agency sharing of information.

10-50-86. Disclosure of information to attorney general--Inter-agency sharing of information.
The secretary may disclose to the attorney general any information received under §§10-50-72 to 10-50-92, inclusive, and requested by the attorney general for purposes of determining compliance with and enforcing the provisions of §§10-50-72 to 10-50-92, inclusive, and chapter 10-50B. The secretary and attorney general shall share with each other the information received under §§10-50-72 to 10-50-92, inclusive, and may share such information with other federal, state, or local agencies only for purposes of enforcement of §§10-50-72 to 10-50-92, inclusive, chapter 10-50B, or corresponding laws of other states.
Source:
SL 2003, ch 74, §15.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-87 - Financial information to be made available to attorney general.

10-50-87. Financial information to be made available to attorney general.
The attorney general may require a nonparticipating manufacturer to provide proof from the financial institution in which the manufacturer has established a qualified escrow fund for the purpose of compliance with chapter 10-50B, of the amount of money in the fund being held in escrow, the dates of deposits, and a listing of the amounts of all withdrawals from the fund and the dates thereof.
Source:
SL 2003, ch 74, §16.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-88 - Declaration of contraband--Seizure, forfeiture and destruction.

10-50-88. Declaration of contraband--Seizure, forfeiture and destruction.
Any cigarettes that have been sold, offered for sale, or possessed for sale in violation of §§10-50-72 to 10-50-92, inclusive, are contraband goods and may be legally seized, without a warrant, by the secretary, the secretary's agents or employees, or by any law enforcement officer of this state if directed by the secretary to do so. Any cigarettes seized and forfeited under this section shall be destroyed.
Source:
SL 2003, ch 74, §17.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-89 - Promulgation of rules--Certification, reporting and directory.

10-50-89. Promulgation of rules--Certification, reporting and directory.
The secretary, for purposes of §§10-50-72 to 10-50-92, inclusive, may promulgate rules pursuant to chapter 1-26 concerning the procedures, forms, and contents for:
(1)The certification process for tobacco product manufacturers;
(2)The reporting requirements for distributors and wholesalers; and
(3)The directory of tobacco product manufacturers that have complied with the requirements of §§10-50-72 to 10-50-92, inclusive.
Source:
SL 2003, ch 74, §18.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-90 - Attorney general may seek restraining order--Action for enforcement--Compensation for costs.

10-50-90. Attorney general may seek restraining order--Action for enforcement--Compensation for costs.
The attorney general may seek an injunction to restrain a threatened or actual violation of §§10-50-72 to 10-50-92, inclusive. In any action brought by the state to enforce the provisions of §§10-50-72 to 10-50-92, inclusive, the court shall award the state the recovery of its expert witness fees, costs, and reasonable attorney fees.
Source:
SL 2003, ch 74, §19.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-91 - Schedule of reports--Publication--Pre-publication sales, distribution, etc.

10-50-91. Schedule of reports--Publication--Pre-publication sales, distribution, etc.
The first report required of a distributor or wholesaler under §§10-50-72 to 10-50-92, inclusive, is due July 15, 2003, the tobacco product manufacturer certifications required under §§10-50-72 to 10-50-92, inclusive, are due August 15, 2003, and the secretary shall have the directory published on the Department of Revenue's internet website required under §§10-50-72 to 10-50-92, inclusive, no later than September 30, 2003. Until the secretary publishes the directory pursuant to this section, the cigarettes of any participating manufacturer and of any nonparticipating manufacturer included on the directory published by the secretary under §10-50-69 as it exists on June 30, 2003, may be sold, distributed, acquired, held, owned, possessed, transported, imported, or caused to be imported in this state.
Source:
SL 2003, ch 74, §20; SL 2011, ch 1 (Ex. Ord. 11-1), §161, eff. Apr. 12, 2011.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-92 - Conflict with other law.

10-50-92. Conflict with other law.
If a court of competent jurisdiction finds that the provisions of §§10-50-72 to 10-50-92, inclusive, and of chapter 10-50B conflict and cannot be harmonized, then the provisions of chapter 10-50B shall control. If any provision of §§10-50-72 to 10-50-92, inclusive, causes chapter 10-50B to no longer constitute a qualifying or model statute, as those terms are defined in the Master Settlement Agreement, then that portion of §§10-50-72 to 10-50-92, inclusive, is not valid.
Source:
SL 2003, ch 74, §21.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-99 - Shipment or transportation of cigarettes and tobacco products to consumers by sellers or distributors prohibited.

10-50-99. Shipment or transportation of cigarettes and tobacco products to consumers by sellers or distributors prohibited.
No person who is engaged in the business of selling or distributing cigarettes or tobacco products may ship or transport, or cause to be shipped or transported, cigarettes or tobacco products to any consumer in the state. This section applies regardless of whether the person engaged in the business of selling or distributing cigarettes or tobacco products is located within or without the state.
Source:
SL 2009, ch 58, §8.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-100 - Injunction for actual or threatened violation.

10-50-100. Injunction for actual or threatened violation.
The attorney general may seek an injunction to restrain a threatened or actual violation of §10-50-99.
Source:
SL 2009, ch 58, §9.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-101 - Civil action for violation--Civil penalty.

10-50-101. Civil action for violation--Civil penalty.
The attorney general may bring a civil action in circuit court for any violation of §10-50-99. In a civil action, in addition to injunctive or any other relief, the court may impose a civil penalty, for a first violation of §10-50-99, in the amount of one thousand dollars or five times the retail value of the cigarettes or tobacco products involved, whichever is greater. A subsequent violation of §10-50-99 is punishable by a civil penalty of five thousand dollars or five times the retail value of the cigarettes or tobacco products involved, whichever is greater.
Source:
SL 2009, ch 58, §10.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-102 - Separate violations.

10-50-102. Separate violations.
Each shipment, transport, or attempted shipment or transport, of cigarettes or tobacco products in violation of §10-50-99 constitutes a separate violation.
Source:
SL 2009, ch 58, §11.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-103 - Forfeiture of products, profits, and benefits.

10-50-103. Forfeiture of products, profits, and benefits.
Any cigarettes or tobacco products shipped, transported, or attempted to be shipped or transported, in violation of §10-50-99 shall be forfeited to the state and destroyed. In addition, any profit, gain, gross receipt, or other benefit from the violation of §10-50-99 shall be disgorged and paid to the state treasurer for deposit in the state's general fund.
Source:
SL 2009, ch 58, §12.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-104 - Other available penalties and remedies--Tax collected from person receiving products.

10-50-104. Other available penalties and remedies--Tax collected from person receiving products.
Unless otherwise expressly provided, the penalties or remedies, or both, under §§10-50-100 to 10-50-103, inclusive, are in addition to any other penalties and remedies available under any other law of the state. Nothing in §§10-50-99 to 10-50-103, inclusive, prohibits the collection of tax against a person receiving cigarettes or tobacco products in violation of this chapter.
Source:
SL 2009, ch 58, §13.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-105 - Provider of roll-your-own machine is cigarette manufacturer--Exception.

10-50-105. Provider of roll-your-own machine is cigarette manufacturer--Exception.
Any person that maintains or provides a machine that enables any consumer to process tobacco or any product that is made or derived from tobacco into a roll or tube is deemed to be a manufacturer of cigarettes. This includes a person who owns or possesses an automated roll-your-own machine that is used to make cigarettes, but does not include a person who owns or possesses a roll-your-own machine and uses the machine in the person's residence solely to make cigarettes for his or her own personal use or for the personal use of other individuals who reside at the residence.
The product produced by a roll-your-own machine as described in this section is deemed to be a cigarette that was sold to a consumer for purposes of this chapter and chapter 10-50B. The product produced by the machine shall comply with the provisions of chapter 34-49 by July 1, 2014.
Source:
SL 2012, ch 74, §1; SL 2014, ch 65, §6.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-106 - Only products in directory to be used in roll-your-own machine.

10-50-106. Only products in directory to be used in roll-your-own machine.
Only tobacco products that are included in the directory published pursuant to §10-50-77 may be inserted into a roll-your-own machine as described in §10-50-105.
Source:
SL 2014, ch 65, §7.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50 - Cigarette Tax › Section 10-50-107 - Seizure and destruction of tobacco products not purchased from licensed distributor or wholesaler.

10-50-107. Seizure and destruction of tobacco products not purchased from licensed distributor or wholesaler.
Any tobacco products found at any place in this state that were purchased from any person other than a licensed distributor or licensed wholesaler, and that have not had the proper tax paid pursuant to §10-50-61, are declared to be contraband goods and may be seized by the secretary, the secretary's agents or employees, or by any law enforcement of this state if directed by the secretary to do so, without a warrant. Any tobacco products seized pursuant to this section shall be forfeited to the state and destroyed.
Source:
SL 2014, ch 65, §8.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-1 - Legislative findings.

10-50B-1. Legislative findings.
The Legislature finds the following:
(1)Cigarette smoking presents serious public health concerns to the State of South Dakota and to the citizens of the state. The surgeon general of the United States 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;
(2)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;
(3)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; and
(4)On November 23, 1998, major United States tobacco product manufacturers entered into a settlement agreement, entitled 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.
Source:
SL 1999, ch 60, §1.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-2 - Legislative intent.

10-50B-2. Legislative intent.
In enacting §§10-50B-1 to 10-50B-10, inclusive, it is the intention of the Legislature that:
(1)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 of South Dakota to the extent that such manufacturers either determine to enter into a settlement with the state or are found culpable by the courts; and
(2)It would be contrary to this policy of the State of South Dakota 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.
Source:
SL 1999, ch 60, §2.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-3 - Definitions.

10-50B-3. Definitions.
Terms used in §§10-50B-1 to 10-50B-10, inclusive, mean:
(1)"Adjusted for inflation," increased in accordance with the formula for inflation adjustment set forth in the Master Settlement Agreement;
(2)"Affiliate," a person who directly or indirectly owns or controls, is owned or controlled by, or is under common ownership or control with, another person. Solely for purposes of this definition, the terms, owns, is owned, and ownership, mean ownership of an equity interest, or the equivalent thereof, of ten percent or more, and the term, person, means an individual, partnership, committee, association, corporation, or any other organization or group of persons;
(3)"Allocable share," allocable share as that term is defined in the Master Settlement Agreement;
(4)"Master Settlement Agreement," the settlement agreement, and related documents, entered into on November 23, 1998, by the State of South Dakota and major United States tobacco product manufacturers which is filed as part of the court record in State of South Dakota, et al. v. Philip Morris, Inc., et al., Civ. No. 98-65, Sixth Judicial Circuit, Hughes County;
(5)"Qualified escrow fund," an escrow arrangement with a federally or state-chartered financial institution having no affiliation with any tobacco product manufacturer and having assets of at least one billion dollars where such arrangement requires that the financial institution hold the escrowed funds' principal for the benefit of releasing parties and prohibits the tobacco product manufacturer placing the funds into escrow from using, accessing, or directing the use of the funds' principal except as consistent with §10-50B-8;
(6)"Released claims," released claims as that term is defined in the Master Settlement Agreement;
(7)"Releasing parties," releasing parties as that term is defined in the Master Settlement Agreement;
(8)"NPM Adjustment Settlement Agreement," the settlement agreement, and related documents, entered into on March 9, 2018, by the State of South Dakota and major United States tobacco product manufacturers which is filed as part of the court record in State of South Dakota, et al. v. Philip Morris, Inc., et al., Civ. No. 98-65, Sixth Judicial Circuit, Hughes County.
Source:
SL 1999, ch 60, §3; SL 2020, ch 36, § 4.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-4 - Cigarette defined.

10-50B-4. Cigarette defined.
For the purposes of §§10-50B-1 to 10-50B-10, inclusive, the term, cigarette, means any product that contains nicotine, is intended to be burned or heated under ordinary conditions of use, and consists of or contains:
(1)Any roll of tobacco wrapped in paper or in any substance not containing tobacco;
(2)Tobacco, in any form, that is functional in the product, which, because of its appearance, the type of tobacco used in the filler, or its packaging and labeling, is likely to be offered to, or purchased by, consumers as a cigarette;
(3)Any roll of tobacco wrapped in any substance containing tobacco which, because of its appearance, the type of tobacco used in the filler, or its packaging and labeling, is likely to be offered to, or purchased by, consumers as a cigarette described in subdivision (1) of this definition.
The term, cigarette, includes, roll-your-own, meaning any tobacco which, because of its appearance, type, packaging, or labeling is suitable for use and likely to be offered to, or purchased by, consumers as tobacco for making cigarettes. For purposes of this definition, 0.09 ounces of roll-your-own tobacco constitutes one individual cigarette.
Source: SL 1999, ch 60, §4.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-5 - Tobacco product manufacturer defined.

10-50B-5. Tobacco product manufacturer defined.
For the purposes of §§10-50B-1 to 10-50B-10, inclusive, the term, tobacco product manufacturer, means an entity that, on or after July 1, 1999, directly, and not exclusively through any affiliate:
(1)Manufactures cigarettes anywhere which the manufacturer intends to be sold in the United States, including cigarettes intended to be sold in the United States through an importer. However, any entity that manufacturers cigarettes that it intends to be sold in the United States is not a tobacco product manufacturer under this subdivision if the cigarettes are sold in the United States exclusively through an importer that is an original participating manufacturer, as that term is defined in the Master Settlement Agreement, that will be responsible for the payments under the Master Settlement Agreement with respect to such cigarettes as a result of the provisions of subsections II(mm) of the Master Settlement Agreement and that pays the taxes specified in subsection II(z) of the Master Settlement Agreement, and if the manufacturer of such cigarettes does not market or advertise such cigarettes in the United States;
(2)Is the first purchaser anywhere for resale in the United States of cigarettes manufactured anywhere that the manufacturer does not intend to be sold in the United States; or
(3)Becomes a successor of an entity described in subdivision (1) or (2).
The term does not include an affiliate of a tobacco product manufacturer unless such affiliate itself falls within subdivision (1), (2), or (3).
Source: SL 1999, ch 60, §5.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-6 - Units sold defined.

10-50B-6. Units sold defined.
For the purposes of §§10-50B-1 to 10-50B-10, inclusive, the term, units sold, means the number of individual cigarettes sold in the state by the applicable tobacco product manufacturer, whether directly or through a distributor, retailer, or similar intermediary or intermediaries, during the year in question, as measured by excise taxes collected by the state on packs bearing the excise tax stamp of the state, or on roll-your-own tobacco. The secretary of revenue shall promulgate, pursuant to chapter 1-26, such rules as are necessary to obtain information from any licensee, licensed under the authority of the Department of Revenue, to ascertain the amount of state excise tax paid on the cigarettes of such tobacco product manufacturer for each year. The Department of Revenue may provide information obtained pursuant to this section as is necessary for a tobacco product manufacturer to compute its escrow payment under §10-50B-7.
Source:
SL 1999, ch 60, §6; SL 2003, ch 272 (Ex. Ord. 03-1), §82; SL 2007, ch 66, §15; SL 2011, ch 1 (Ex. Ord. 11-1), §161, eff. Apr. 12, 2011.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-7 - Requirements for tobacco product manufacturers selling cigarettes in state--Quarterly installment deposits.

10-50B-7. Requirements for tobacco product manufacturers selling cigarettes in state--Quarterly installment deposits.
Any tobacco product manufacturer selling cigarettes to consumers within the state, on or after July 1, 1999, whether directly or through a distributor, retailer, or similar intermediary or intermediaries, shall do one of the following:
(1)Become a participating manufacturer, as that term is defined in section II(jj) of the Master Settlement Agreement, and generally perform its financial obligations under the Master Settlement Agreement; or
(2)Place into a qualified escrow fund for the year in question the following amounts, as such amounts are adjusted for inflation:
(a)For 1999: $.0094241 per unit sold after the date of enactment of §§10-50B-1 to 10-50B-10, inclusive;
(b)For 2000: $.0104712 per unit sold;
(c)For each of 2001 and 2002: $.0136125 per unit sold;
(d)For each of 2003 through 2006: $.0167539 per unit sold;
(e)For each of 2007 and each year thereafter: $.0188482 per unit sold.
Beginning in 2010, the escrow fund deposits required by this section shall be made in quarterly installments. For purposes of this section, the calendar year shall be divided into the following quarters: January first to March thirty-first, inclusive; April first to June thirtieth, inclusive; July first to September thirtieth, inclusive; and October first to December thirty-first, inclusive. The deposit for the first two quarters of 2010 shall be made by August 31, 2010. The first quarterly deposit for each year thereafter shall be made by May thirty-first of each year. The second quarterly deposit shall be made by August thirty-first of each year. The third quarterly deposit shall be made by November thirtieth of each year. The fourth quarterly deposit shall be made by April fifteenth of the following year.
For each of the first three quarters, the quarterly deposit shall be based upon units sold in that quarter together with an estimated inflation adjustment provided by the attorney general. The fourth quarterly deposit shall be based upon units sold in that quarter. In addition, the fourth quarterly deposit shall include the inflation adjustment for all units sold during the entire year, as set forth in the Master Settlement Agreement, less any amounts previously paid as estimated inflation adjustments for that year.
The attorney general may require production of information sufficient to enable the attorney general to determine the adequacy of the amount of the quarterly installment deposit.
Source:
SL 1999, ch 60, §7; SL 2010, ch 68, §1.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-8 - Tobacco product manufacturers to receive appreciation on funds--Funds released from escrow for specified purposes.

10-50B-8. Tobacco product manufacturers to receive appreciation on funds--Funds released from escrow for specified purposes.
A tobacco product manufacturer that places funds into escrow pursuant to §10-50B-7 shall receive the interest or other appreciation on such funds as earned. Such funds themselves shall be released from escrow only under the following circumstances:
(1)To pay a judgment or settlement on any released claim brought against such tobacco product manufacturer by the state or any releasing party located or residing in the state. Funds shall be released from escrow under this subdivision in the order in which they were placed into escrow and only to the extent and at the time necessary to make payments required under such judgment or settlement;
(2)To the extent that a tobacco product manufacturer establishes that the amount it was required to place into escrow on account of units sold in the state in a particular year was greater than the Master Settlement Agreement payments, as determined pursuant to section IX(I) of that agreement including after final determination of all adjustments, that such manufacturer would have been required to make on account of such units sold had it been a participating manufacturer, the excess shall be released from escrow and revert back to such tobacco product manufacturer; or
(3)To the extent not released from escrow under subdivision (1) or (2) of this section, funds shall be released from escrow and revert back to such tobacco product manufacturer twenty-five years after the date on which they were placed into escrow.
Source:
SL 1999, ch 60, §8; SL 2004, ch 99, §1; SL 2010, ch 68, §5.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-9 - Certification of compliance by tobacco product manufacturer--Civil action for non-compliance--Penalties.

10-50B-9. Certification of compliance by tobacco product manufacturer--Civil action for non-compliance--Penalties.
Each tobacco product manufacturer that elects to place funds into escrow shall quarterly certify its compliance with §10-50B-7 to the attorney general. The attorney general may bring a civil action on behalf of the State of South Dakota against any tobacco product manufacturer that fails to place into escrow the funds required. Any tobacco product manufacturer that fails in any quarter to place into escrow the funds required by §10-50B-7 shall:
(1)Within fifteen days place such funds into escrow as shall bring it into compliance with §10-50B-7. The court, upon a finding of a violation of §10-50B-7, may impose a civil penalty to be paid to the state general fund in an amount not to exceed five percent of the amount improperly withheld from escrow per day of the violation and in a total amount not to exceed one hundred percent of the original amount improperly withheld from escrow;
(2)In the case of a knowing violation, within fifteen days place such funds into escrow as shall bring it into compliance with §10-50B-7. The court, upon a finding of a knowing violation of §10-50B-7, may impose a civil penalty to be paid to the state general fund in an amount not to exceed fifteen percent of the amount improperly withheld from escrow per day of the violation and in a total amount not to exceed three hundred percent of the original amount improperly withheld from escrow; and
(3)In the case of a second knowing violation, be prohibited from selling cigarettes to consumers within the state, whether directly or through a distributor, retailer, or similar intermediary, for a period not to exceed two years.
Source:
SL 1999, ch 60, §9; SL 2010, ch 68, §2.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-10 - Each failure to make deposit a separate violation.

10-50B-10. Each failure to make deposit a separate violation.
Each failure to make a quarterly deposit required under §10-50B-7 constitutes a separate violation.
Source:
SL 1999, ch 60, §10; SL 2010, ch 68, §3.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-11 - Master Settlement Agreement monies to be deposited in education enhancement trust fund.

10-50B-11.Master Settlement Agreement monies to be deposited in education enhancement trust fund.
Any money received from the Master Settlement Agreement signed on November 23, 1998, by attorneys general from several states and various tobacco companies shall be deposited in the education enhancement trust fund as provided in S. D. Const., Art. XII, §6.
Source:
SL 2000, ch 66, §1; SL 2001, ch 152, §5.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-11.1 - Code provisions governing investment in education enhancement trust fund.

10-50B-11.1.Code provisions governing investment in education enhancement trust fund.
The investment of moneys in the education enhancement trust fund as provided in S. D. Const., Art. XII, §6 is not restricted by the provisions of §4-5-26, but is governed by the provisions of §4-5-27.
Source:
SL 2001, ch 152, §6.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-13 - Revocation of license--Hearing--Reinstatement.

10-50B-13. Revocation of license--Hearing--Reinstatement.
The secretary of revenue may revoke the license of any distributor or wholesaler for failure to comply with the provisions of §10-50B-6 and any rule promulgated pursuant to that section. Any person aggrieved by such revocation may apply to the secretary for a hearing as provided in chapter 1-26.
The license of a distributor or wholesaler which has been revoked pursuant to this section may not be reinstated by the secretary of revenue until the person has fully complied with the provisions of §10-50B-6.
Source:
SL 2001, ch 59, §1; SL 2003, ch 272 (Ex. Ord. 03-1), §82; SL 2011, ch 1 (Ex. Ord. 11-1), §161, eff. Apr. 12, 2011.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-15 - Assignment to state of manufacturer's interest in money in qualified escrow fund.

10-50B-15. Assignment to state of manufacturer's interest in money in qualified escrow fund.
Notwithstanding the provisions of §10-50B-8, a manufacturer that elects to deposit money into a qualified escrow fund pursuant to §10-50B-7 may assign to the state the interest of the manufacturer in any money in the qualified escrow fund.
An assignment executed under this section is irrevocable and applies to any money and any interest or other appreciation earned on any money for which the manufacturer executes the assignment.
Source:
SL 2019, ch 67, §1.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-16 - Amendment of escrow agreement to execute assignment--Requirements--Delivery.

10-50B-16. Amendment of escrow agreement to execute assignment--Requirements--Delivery.
The parties to a qualified escrow agreement may amend the agreement for the purposes of executing an assignment pursuant to §10-50B-15.
An assignment executed pursuant to §10-50B-15 shall be in writing and signed by the assignee and the assignor or by an authorized agent or representative of the assignor. An assignment in writing that is duly executed becomes enforceable after a copy of the assignment is delivered to the attorney general and the financial institution where the qualified escrow fund is maintained.
Source:
SL 2019, ch 67, §2.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-17 - Manufacturer not relieved of obligations by assignment.

10-50B-17. Manufacturer not relieved of obligations by assignment.
Nothing in §§10-50B-15 and 10-50B-16 relieves a manufacturer from any obligation or duty imposed pursuant to this chapter or chapter 10-50.
Source:
SL 2019, ch 67, §3.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-18 - Cigarette importers--Tobacco product manufacturer--Joint and several liability--Escrow fund.

10-50B-18  .  Cigarette importers--Tobacco product manufacturer--Joint and several liability--Escrow fund.
Any person that imports cigarettes into the United States shall be jointly and severally liable with any tobacco product manufacturer required to place a deposit into a qualified escrow fund pursuant to subdivision   10-50B-7  (2) for the obligation to make the deposit into the qualified escrow fund.
Source:  SL 2020, ch 36, § 1.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-19 - State directory--Manufacturers--Surety bond--Amount.

10-50B-19  .  State directory--Manufacturers--Surety bond--Amount.
Before being listed in the state directory of manufacturers and brands permitted to be sold, any tobacco product manufacturer required to place a deposit into a qualified escrow fund pursuant to subdivision   10-50B-7  (2) shall provide a surety bond to the attorney general at least ten days before the beginning of each calendar quarter. The amount of the bond shall be the greater of:
(1) The largest required deposit into a qualified escrow fund by the tobacco product manufacturer or the tobacco product manufacturer's predecessor for any of the twelve preceding calendar quarters; or
(2) Twenty-five thousand dollars.
Source:  SL 2020, ch 36, § 2.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50B - Escrow Fund For Tobacco Litigation › Section 10-50B-20 - Disclosure of information--Purposes.

10-50B-20  .  Disclosure of information--Purposes.
Notwithstanding any other law, the secretary of revenue or the attorney general may disclose, at the discretion of the secretary or the attorney general, any information received pursuant to title 10 for purposes of the proper administration, determination of compliance, or enforcement of chapters 10-50 and 10-50B, to:
(1) Participating manufacturers;
(2) Signatory states that are signatories to the NPM Adjustment Settlement Agreement; or
(3) The Data Clearinghouse;
as those terms are defined in the Master Settlement Agreement or the NPM Adjustment Settlement Agreement.
Source:  SL 2020, ch 36, § 3.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50C - Cigar Shipments › Section 10-50C-1 - Definitions.

10-50C-1. Definitions.
Terms used in this chapter mean:
(1)"Cigar", any individual roll of tobacco that has a wrapper or cover consisting only of tobacco;
(2)"Cigar shipper," any person who has obtained a cigar shipper license pursuant to this chapter;
(3)"Common carrier," a carrier that holds itself out to the general public as engaged in the business of transporting goods for a fee;
(4)"Department," the Department of Revenue;
(5)"Manufacturer's cost," the total of all costs incurred in the process of producing a cigar; and
(6)"Wholesale purchase price," the consideration paid by a cigar shipper to acquire cigars.
Source:
SL 2021, ch 52, § 1, eff. Jan. 1, 2022.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50C - Cigar Shipments › Section 10-50C-2 - Cigar shipper license requirements.

10-50C-2. Cigar shipper license requirements.
Any person located within or outside of this state may obtain a cigar shipper license. An applicant for an initial or renewal cigar shipper license shall:
(1)File an application with the department on a form prescribed by the department;
(2)Pay a license fee of one hundred dollars;
(3)Hold a South Dakota sales and use tax license issued by the department; and
(4)Be current on the remittance of all applicable state and local taxes.
The department shall issue a cigar shipper license to any applicant who meets the requirements of this chapter.
Source:
SL 2021, ch 52, § 2, eff. Jan. 1, 2022.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50C - Cigar Shipments › Section 10-50C-3 - Period of validity of license--Proration or refund of license fee prohibited.

10-50C-3. Period of validity of license--Proration or refund of license fee prohibited.
A cigar shipper license is valid from July first to June thirtieth, inclusive. However, the license is valid for an additional three days if a proper application for a new license is in the possession of the department before midnight on the thirtieth day of June when the license expires.
The license fee required to be paid pursuant to § 10-50C-2 may not be prorated or refunded for a license that is not held for the entire period.
Source:
SL 2021, ch 52, § 3, eff. Jan. 1, 2022.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50C - Cigar Shipments › Section 10-50C-4 - Sale and shipment requirements.

10-50C-4. Sale and shipment requirements.
Notwithstanding § 10-50-99, a cigar shipper may sell and ship cigars to any person in this state who is twenty-one years of age or older. Before shipping the cigars, the cigar shipper shall verify the age of the person placing the order by obtaining a copy of the person's valid age-bearing photo identification document issued by this state, another state, the federal government, or a federally recognized Indian tribe, or by using an age verification service. The cigar shipper shall record the name, address, date of birth, and telephone number of the person placing the order on the order form or other verifiable record. The cigar shipper shall notify the person placing the order that the recipient of the shipment is required to show a valid age-bearing photo identification document issued by this state, another state, the federal government, or a federally recognized Indian tribe, upon delivery.
Source:
SL 2021, ch 52, § 4, eff. Jan. 1, 2022.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50C - Cigar Shipments › Section 10-50C-5 - Package labeling requirements.

10-50C-5. Package labeling requirements.
A cigar shipper shall conspicuously label each package to be shipped with words indicating that the package contains cigars and that the signature of a person twenty-one years of age or older is required for delivery.
Source:
SL 2021, ch 52, § 5, eff. Jan. 1, 2022.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50C - Cigar Shipments › Section 10-50C-6 - Delivery of shipment by common carrier--Requirements.

10-50C-6. Delivery of shipment by common carrier--Requirements.
Each shipment of cigars made pursuant to this chapter shall be delivered by a common carrier with a label that complies with the provisions of § 10-50C-5. The common carrier shall obtain the signature of a person twenty-one years of age or older prior to delivery of the shipment, and shall request that the person signing for the shipment display a valid age-bearing photo identification document issued by this state, another state, the federal government, or a federally recognized Indian tribe verifying that the person is twenty-one years of age or older.
Source:
SL 2021, ch 52, § 6, eff. Jan. 1, 2022.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50C - Cigar Shipments › Section 10-50C-7 - Civil penalty.

10-50C-7. Civil penalty.
A cigar shipper who violates § 10-50C-4 or 10-50C-5 is subject to a civil penalty of one thousand dollars for a first offense and two thousand dollars for a second or subsequent offense. Penalties may be levied by the department.
A common carrier who violates § 10-50C-6 is subject to a civil penalty of one thousand dollars for a first offense and two thousand dollars for a second or subsequent offense. Penalties may be levied by the department.
Any money collected pursuant to this section shall be deposited in the general fund.
Source:
SL 2021, ch 52, § 7, eff. Jan. 1, 2022.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50C - Cigar Shipments › Section 10-50C-8 - State jurisdiction--Audit of records.

10-50C-8. State jurisdiction--Audit of records.
A cigar shipper consents to the jurisdiction of the department and the courts of this state with respect to the enforcement of the provisions of this chapter.
The cigar shipper shall allow the department to perform an audit of the cigar shipper's records, including any documents used to verify the age of any person ordering cigars from the cigar shipper, and provide copies of any such records upon request.
Source:
SL 2021, ch 52, § 8, eff. Jan. 1, 2022.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50C - Cigar Shipments › Section 10-50C-9 - Cigar shipper quarterly returns.

10-50C-9. Cigar shipper quarterly returns.
A cigar shipper shall file a quarterly return with the department on or before the fifteenth day of the month following each quarterly period even if no business was transacted during the reporting period.
The return must include:
(1)The business name, address, and cigar shipper license number of the cigar shipper;
(2)The total wholesale purchase price, as defined in this chapter, or manufacturer's cost, as defined in this chapter, of cigars shipped to recipients in this state during the quarterly period;
(3)The name and address of shipment recipients in this state during the quarterly period;
(4)The name of any common carrier used to deliver each shipment; and
(5)The date, cigar brand, quantity, and wholesale purchase price, as defined in this chapter, or manufacturer's cost, as defined in this chapter, of each shipment, along with any taxes remitted by the purchaser during the quarterly period.
Source:
SL 2021, ch 52, § 9, eff. Jan. 1, 2022.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50C - Cigar Shipments › Section 10-50C-10 - Taxes.

10-50C-10. Taxes.
A cigar shipper shall remit the tax prescribed pursuant to § 10-50-61 based upon the wholesale purchase price, as defined in this chapter, for any cigars sold and shipped to a consumer in this state. If there is no wholesale purchase price, the cigar shipper shall remit the tax prescribed pursuant to § 10-50-61 based upon the manufacturer's cost, as defined in this chapter, for any cigars sold and shipped to a consumer in this state. The cigar shipper shall remit the taxes quarterly on or before the fifteenth day of the month following each quarterly period.
Source:
SL 2021, ch 52, § 10, eff. Jan. 1, 2022.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50C - Cigar Shipments › Section 10-50C-11 - Entities exempt from §10-50C-10.

10-50C-11. Entities exempt from §10-50C-10.
The following entities are exempt from the provisions of § 10-50C-10:
(1)A cigar shipper who is also a licensed distributor or licensed wholesaler pursuant to chapter 10-50 and who has already remitted the tax pursuant to § 10-50-61 on cigars brought into this state that were subsequently sold and shipped to a consumer in this state; or
(2)A cigar shipper who is also a registered tobacco retailer pursuant to chapter 10-50 and who has purchased cigars from a licensed distributor or licensed wholesaler pursuant to chapter 10-50 that were subsequently sold and shipped to a consumer in this state.
Source:
SL 2021, ch 52, § 11, eff. Jan. 1, 2022.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50C - Cigar Shipments › Section 10-50C-12 - Electronic submission of returns--Electronic remittance of tax.

10-50C-12. Electronic submission of returns--Electronic remittance of tax.
The cigar shipper shall file a return required to be filed pursuant to § 10-50C-9 by electronic means with the department. The cigar shipper shall remit any taxes required to be remitted pursuant to § 10-50C-10 by electronic means to the department.
Source:
SL 2021, ch 52, § 12, eff. Jan. 1, 2022.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50C - Cigar Shipments › Section 10-50C-13 - Sale and shipment without license prohibited--Action by department for violation--Civil penalty.

10-50C-13. Sale and shipment without license prohibited--Action by department for violation--Civil penalty.
A sale and shipment of cigars to a person in this state from a person who does not hold a current cigar shipper license is prohibited. Any person who violates this section is also in violation of § 10-50-99 and is subject to the provisions of §§ 10-50-100 to 10-50-104, inclusive. Any money collected pursuant to this section shall be deposited in the general fund.
Source:
SL 2021, ch 52, § 13, eff. Jan. 1, 2022.
2023 South Dakota Codified Laws › Title 10 - Taxation › Chapter 50C - Cigar Shipments › Section 10-50C-14 - Resale of cigars prohibited--Violation as misdemeanor.

10-50C-14. Resale of cigars prohibited--Violation as misdemeanor.
Cigars shipped to any person in this state pursuant to this chapter may only be used for personal use and may not be resold. It is a Class 1 misdemeanor for any person to resell or attempt to resell any cigar obtained pursuant to the provisions of this chapter.
Source:
SL 2021, ch 52, § 14, eff. Jan. 1, 2022.