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 1 - Cigarette Tax › Part 79 - Miscellaneous Provisions › Section 79.2 - Tax due on June 30, 2010, inventory based on increased cigarette tax

Current through Register Vol. 46, No. 28, July 10, 2024
Tax Law, §§ 471 and 475
(a) Effective July 1, 2010, amendments made
					 by part D of chapter 134 of the Laws of 2010 to section 471 of article 20 of
					 the Tax Law increased the tax on cigarettes possessed in New York State by any
					 person for sale from $2.75 to $4.35 for each 20 cigarettes or fraction thereof.
					 Provided, however, if a package of cigarettes contains more than 20 cigarettes,
					 the rate of tax on those cigarettes in excess of 20 increased from 683/4 cents
					 to $1.0875 for each five cigarettes or fraction thereof.
(b) Every dealer of cigarettes, including
					 agents licensed to purchase and affix stamps, shall take a physical inventory
					 of all cigarettes possessed in this State as of the close of business on June
					 30, 2010. In addition, every dealer who is a licensed agent shall take a
					 physical inventory of all unaffixed cigarette tax stamps possessed as of the
					 close of business on such date. Because it may be impossible to take a physical
					 inventory of cigarettes in all vending machines that are on location throughout
					 the State, a dealer may take as many physical inventories of the contents of
					 such machines as is possible with available personnel. For those machines that
					 cannot be physically inventoried as of the close of business on June 30, 2010,
					 cigarettes may be accounted for at one-half of the normal fill capacities of
					 such machines, as reflected in the individual inventory records maintained for
					 such machines.
(c)
Returns
					 and payments.
(1) On or before
					 September 20, 2010, every such dealer shall file a return with the Department
					 of Taxation and Finance, on a form prescribed by the department for such
					 purpose, showing the quantity of all cigarettes and unaffixed stamps possessed
					 as of the June 30, 2010, close of business inventory. Such return must reflect
					 the entire wholesale and/or retail inventories of the dealer within the State,
					 as required by the department, regardless of the number of business locations
					 of the dealer. Every dealer must pay, with the filing of such return, an
					 additional amount of tax for all cigarettes in such inventory which are
					 contained in packages bearing stamps evidencing tax payment at the rates in
					 effect prior to July 1, 2010, and for all unaffixed cigarette tax stamps in
					 such inventory evidencing tax payment at such rates. The additional amount of
					 tax shall be paid at the rate of $1.60 for each 20 cigarettes or fraction
					 thereof unless cigarettes are contained in packages of more than 20, in which
					 case the additional amount of tax for those cigarettes in excess of 20 shall be
					 at the rate of 40 cents for each five cigarettes or fraction thereof ($2.00 per
					 package of 25 cigarettes). Such tax shall be paid regardless of whether the
					 affixed or unaffixed stamps show payment of the New York State tax or both the
					 New York State and City of New York taxes.
(2) The additional amount of tax due on
					 inventory based on the increased cigarette tax must be paid by check or money
					 order, payable to NYS Cigarette Tax.