Tobacco tax.

2018
STATE OF WYOMING
18LSO-0288
Numbered
1.2

HOUSE BILL

NO.
HB0043

Tobacco tax.

Sponsored by:
Joint Revenue Interim Committee

A BILL

for

AN ACT relating to tobacco tax; increasing the tax on cigarettes, moist snuff and other tobacco products; providing for reporting and taxation of floor stock; and providing for an effective date.

Be It Enacted by the Legislature of the State of Wyoming:

Section 1
.

W.S. 39
‑
18
‑
104(a)(ii), (b)(ii) and (c) through (f) is amended to read:

39
‑
18
‑
104
.

Taxation rate.

(a)

There is levied and shall be collected and paid to the department an excise tax upon the sale of each cigarette sold by wholesalers as follows:

(ii)

Two and four
‑
tenths cents ($.024)
Seven and four
‑
tenths cents ($.074)
.

(b)

There is levied and shall be paid to the department an excise tax upon the use or storage by consumers of cigarettes in Wyoming but only if the tax imposed by subsection (a) of this section has not been paid as follows:

(ii)

Two and four
‑
tenths cents ($.024)
Seven and four
‑
tenths cents ($.074)
.

(c)

In addition to the other taxes imposed by this section, there is levied and assessed upon cigars, snuff and other tobacco products purchased or imported into this state by wholesalers for resale, except cigarettes and moist snuff taxed under this section, an excise tax at the rate of
twenty percent (20%)
fifty
‑
three and one
‑
third
percent (53 1/3%)
of the wholesale purchase price at which the tobacco products are purchased by wholesalers from manufacturers.

(d)

The tax imposed by subsection (c) of this section shall also be imposed upon the use or storage by consumers of cigars, snuff and other tobacco products other than cigarettes and moist snuff in this state, and upon those consumers, at the rate of
ten percent (10%)
twenty
‑
six and two
‑
thirds percent (26 2/3%)
of the retail price of the cigar, snuff or other tobacco product other than cigarettes and moist snuff. This tax shall not apply if the tax imposed by subsection (c) of this section has been paid.

(e)

In addition to the other taxes imposed by this section, there is levied and assessed upon moist snuff purchased or imported into this state by wholesalers for resale, an excise tax at the rate of
sixty cents ($0.60)
one dollar and sixty cents ($1.60)
for any amount of moist snuff up to one (1) ounce plus a proportionate tax at the like rate on any fractional parts of more than one (1)
ounce. The tax on moist snuff shall be imposed based on the net weight as listed by the manufacturer.

(f)

The tax imposed by subsection (e) of this section shall also be imposed upon the use or storage by consumers of moist snuff in this state, and upon those consumers, at the rate of
sixty cents ($0.60)
one dollar and sixty cents ($1.60)
for any amount of moist snuff up to one (1) ounce plus a proportionate tax at the like rate on any fractional parts of more than one (1) ounce. This tax shall not apply if the tax imposed by subsection (e) of this section has been paid. The tax on moist snuff shall be imposed based on the net weight as listed by the manufacturer.

Section 2
.

(a)

Each Wyoming licensed wholesaler required to pay taxes under W.S. 39
‑
18
‑
104 shall:

(i)

Take a physical inventory of
all
:

(A)

C
igarettes in packages bearing Wyoming tax stamps, and all unaffixed Wyoming cigarette tax stamps possessed by the wholesaler or in their control at 11:59 p.m. on
the effective date of this act
;

(B)

U
nits of moist snuff possessed by the wholesaler or in their control at 11:59 p.m. on
the effective date of this act
;

(C)

C
igars, snuff and other tobacco products possessed by the wholesaler or in their control at 11:59 p.m. on
the effective date of this act
.

(ii)

File a return with the department
not later than ten (10) days after the effective date of this act
, showing the inventories taken under paragraph (i) of this subsection;

(iii)

Pay a floor stock tax at a proportionate rate equal to the increase in tobacco taxes under section 1 of this act for all cigarettes, moist snuff and cigars, snuff and other tobacco products in the possession or
control of the wholesaler at 11:59 p.m. on
the effective date of this act
.

(b)

The floor stock tax imposed by subsection (a) of this section may be paid in three (3) installments. The first installment, in an amount equal to at least one
‑
third (1/3) of the total amount due, shall be remitted with the return provided to the department
not later than ten (10) days following the effective date of this act
. The second installment, in an amount that brings the total amount paid to at least two
‑
thirds (2/3) of the total amount due, shall be remitted
one (1) month following the due date of the first installment
. The third installment, in an amount equal to the remaining balance, shall be remitted
two (2) months following the due date of the first installment
. Penalties under
W.S.
39
‑
18
‑
108
(c)(iv) shall not be imposed against any outstanding installment payment not yet due from a wholesaler who files the return and makes payments as required under this section.

Section 3
.

T
his act is effective
fifteen (15) days after the date the attorney general certifies to the secretary of state and the department of revenue that the state has completed an agreement with the Eastern Shoshone and Northern Arapaho Tribes providing for the imposition of tobacco taxes throughout Wyoming and on the Wind River Indian Reservation with a reimbursement of taxes collected from members of Eastern Shoshone and Northern Arapaho Tribes to the respective tribal governments
.

(END)

1
HB0043