Alabama Administrative Code › Title 810 - ALABAMA DEPARTMENT OF REVENUE › Chapter 810-7-1 - TOBACCO TAX ADMINISTRATION › Section 810-7-1-.11 - Procedures Pertaining To The Escrow Provisions And Tobacco Master Settlement Agreement Complementary Legislation Concerning Tobacco Manufacturers

Current through Register Vol. 42, No. 9, June 28, 2024
(1) The tobacco
			 Escrow Provisions and Tobacco Master Settlement Agreement Complementary
			 Legislation are codified in Title 6, Chapters 12 and 12A. These provisions
			 obligate tobacco manufacturers and distributors to adhere to certain
			 requirements.
(2) In addition to
			 information currently reported, each qualified wholesaler; distributor;
			 retailer; manufacturer; delivery seller (as defined by the PACT Act which
			 amended the Jenkins Act) who sales any cigarettes or smokeless tobacco to a
			 consumer in Alabama if the consumer submits the order via telephone or other
			 method of voice transmission, mail orders, Internet, or other online service
			 where the seller is not in the buyer's physical presence; or any other person;
			 firm; corporation; club or association selling, receiving, distributing,
			 storing or using tobacco products in the State of Alabama shall report the
			 excise tax on cigarettes and roll-your-own tobacco.
(3) The wholesaler, distributor, retailer,
			 manufacturer, delivery seller, etc. shall report the information to the Alabama
			 Department of Revenue, on forms prescribed by the Department, no later than the
			 twentieth day of each calendar month for the preceding calendar month's
			 activity. The following information must be reported:
(a) The month of activity.
(b) The name of the nonparticipating
			 manufacturer from whom the Alabama taxed cigarettes or roll-your-own tobacco
			 originated.
(c) The brand
			 code.
(d) The brand name.
(e) The number of Alabama taxed cigarettes
			 and roll-your-own tobacco units sold. (Units Sold is 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 (or roll-your-own tobacco containers) bearing
			 the excise tax stamp of the state.)
1. For the
			 purpose of roll-your-own tobacco, this product is taxed under the heading of
			 "smoking tobacco" in Alabama tobacco tax statutes Title 40, Chapter 25, Section
			 2(a)(9), and the excise tax is paid by monthly report. The term "cigarette"
			 includes roll-your-own tobacco. Roll-your-own is 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.
			 Roll-your-own tobacco in the amount of 0.09 ounces shall constitute one
			 individual cigarette.
(f) The conversion of roll-your-own tobacco
			 ounces to cigarettes. For the purpose of computing roll-your-own tobacco to
			 units sold, the tobacco must be converted to individual cigarettes by dividing
			 total ounces of roll-your-own tobacco by 0.09.