New York Codes, Rules and Regulations › Title 20 - DEPARTMENT OF TAXATION AND FINANCE › Chapter I - Franchise and Certain Business Taxes › Subchapter I - Cigarette Tax, Cigarette Marketing Standards And Tobacco Products Tax › Article 3 - Tobacco Products Tax › Part 89 - Introduction And Definitions › Section 89.2 - Definition

Current through Register Vol. 46, No. 28, July 10, 2024
Tax Law, § 470
Any term defined in this Subchapter relating to the
						cigarette tax shall have the same meaning when used with respect to the tobacco
						products tax. For purposes of the tobacco products tax, the following terms
						shall have the meanings indicated below.
(a)
Tobacco products
shall
					 have the same meaning as is found in section 470 (2)  of the Tax
					 Law.
(b)
Wholesale
					 price.
(1)
Wholesale
					 price
means the established price for which a manufacturer sells a
					 tobacco product to a distributor, before the allowance of any discount, trade
					 allowance, rebate or other reduction. In the absence of such an established
					 price, the manufacturer's invoice price for any tobacco product shall be
					 presumptive evidence of the wholesale price of such tobacco product. In the
					 absence of both the manufacturer's established price and the manufacturer's
					 invoice price, the price at which the tobacco product was purchased shall be
					 presumed to be the wholesale price. Whether the manufacturer' s established
					 price, the manufacturer's invoice price or the purchase price is utilized, the
					 wholesale price shall be the invoice cost without allowance of any quantity
					 discount, cash discount or any other reduction. If tobacco products are
					 transferred at no charge, gratis or are otherwise listed as free goods, it is
					 in effect a discount and the ordinary or usual wholesale price of such products
					 must be added to the invoice to arrive at the total wholesale price subject to
					 tax. Charges for freight, insurance, customs, duties and other similar charges
					 necessary to effectuate delivery, if separately stated on the invoice, are not
					 included in the wholesale price. However, Federal excise taxes paid by the
					 manufacturer are included in the wholesale price. Such manufacturer' s invoice
					 price or such purchase price, as the case may be, shall be presumed to be the
					 wholesale price, unless evidence of a lower wholesale price is established, or
					 any industry standard of markups relating to the purchase price in relation to
					 the wholesale price is established.
(2) The Department of Taxation and Finance
					 may determine the wholesale price of any tobacco product based upon such
					 evidence as may be presented by any person with an interest therein or such
					 information as may be otherwise available. The department may require any
					 appointed distributor of tobacco products and any applicant for appointment as
					 such to submit a schedule containing the description, trade/brand name and
					 wholesale price of every tobacco product imported or caused to be imported into
					 this State for sale, manufactured in this State or sold, shipped or delivered
					 to any person within the State by such distributor or applicant.