2023 District of Columbia Code › Title 47 - Taxation, Licensing, Permits, Assessments, and Fees. [Enacted title] › Chapter 24 - Tobacco Tax › § 47–2403. Exemptions

§ 47–2403. Exemptions.
(a) Sale or possession of cigarettes in the District under the following circumstances shall be exempt from the tax levied and imposed by § 47-2402:
(1) Sales of cigarettes or other tobacco products to or by the United States or the District government, or any instrumentalities thereof; possession of cigarettes or other tobacco products lawfully purchased from such governmental entities by persons legally entitled to purchase or receive such cigarettes or other tobacco products; and transfers, without consideration, of cigarettes or other tobacco products lawfully purchased from such governmental entities by persons legally entitled to purchase or receive such cigarettes or other tobacco products to other persons legally entitled to purchase or receive such cigarettes or other tobacco products from such governmental entities;
(2) [Repealed];
(3) Possession of cigarettes by licensed wholesalers for sale outside of the limits of the District or for sale to other licensed wholesalers as provided for in § 47-2402(f); sales of cigarettes by licensed wholesalers to other licensed wholesalers as provided for in § 47-2402(f); and possession by authorized licensed retailers and vending machine operators of cigarettes bearing cigarette tax stamps issued by any other state or jurisdiction for sale in such other state or jurisdiction; provided, that such authorized licensed retailers and vending machine operators are licensed under the laws of such other state or jurisdiction to engage in the business of selling cigarettes therein;
(4) Possession by a consumer of 200 or fewer cigarettes, which do not bear proper evidence of the payment of the tax levied and imposed by § 47-2402, transported into the District by a consumer or manufactured in the District by a consumer; transfers, without consideration, of such cigarettes from 1 consumer to another consumer;
(5) Possession of cigarettes or other tobacco products while being transported under such conditions that they are not deemed contraband under the provisions of § 47-2405; and
(6) Possession of other tobacco product by licensed wholesalers for sale outside of the limits of the District or for sale to other licensed wholesalers as provided for in § 47-2402(f), sales of other tobacco products by licensed wholesalers to other licensed wholesalers as provided for in § 47-2402(f), and possession by authorized licensed retailers and vending machine operators of other tobacco products on which the tax rate for any other state or jurisdiction has been paid, for sale in such other state or jurisdiction; provided, that such authorized licensed retailers and vending machine operators are licensed under the laws of such other state or jurisdiction to engage in the business of selling other tobacco products therein.
(b) The burden of proof that any cigarettes or other tobacco products are exempt from taxation under this chapter shall be upon the person who sells or possesses such cigarettes or other tobacco products.
(May 27, 1949, 63 Stat. 138, ch. 146, title VI, § 604; Mar. 10, 1982, D.C. Law 4-71, § 2, 28 DCR 5243; Sept. 10, 1985, D.C. Law 6-33, § 2(b), 32 DCR 3774; enacted, Apr. 9, 1997, D.C. Law 11-254, § 2, 44 DCR 1575; Feb. 26, 2015, D.C. Law 20-155, § 7012(e)(5), 61 DCR 9990.)
Prior Codifications
1981 Ed., § 47-2403.
1973 Ed., § 47-2803.
Section References
This section is referenced in § 47-2402.
Effect of Amendments
The 2015 amendment by D.C. Law 20-155 added “or other tobacco products” throughout this section; and added (a)(6) and made related changes.
Emergency Legislation
For temporary (90 days) amendment of this section, see § 7022(e)(5) of the Fiscal Year 2015 Budget Support Emergency Act of 2014 (D.C. Act 20-377, July 14, 2014, 61 DCR 7598, 20 STAT 3696).
For temporary (90 days) amendment of this section, see § 7012(e)(5) of the Fiscal Year 2015 Budget Support Congressional Review Emergency Act of 2014 (D.C. Act 20-449, October 10, 2014, 61 DCR 10915, 20 STAT 4188).
For temporary (90 days) amendment of this section, see § 7012(e)(5) of the Fiscal Year 2015 Budget Support Second Congressional Review Emergency Act of 2014 (D.C. Act 20-566, January 9, 2015, 62 DCR 884, 21 STAT 541).
Effective Dates
Section 3(b) of D.C. Law 6-33 provided that the provisions of the act shall not operate before the 1st day of the 1st month which begins more than 30 days after September 10, 1985.