Bill Text: CT HB05428 | 2018 | General Assembly | Introduced

Connecticut House Bill 5428 (Prior Session Legislation)

Introduced

Bill Title: An Act Concerning Imposition Of The Tobacco Products Tax.

Spectrum: Committee Bill

Status: (Introduced - Dead) 2018-03-12 - Public Hearing 03/16 [HB05428 Detail]

Download: Connecticut-2018-HB05428-Introduced.html


General Assembly		*Raised Bill No. 5428*
*February Session, 2018*		LCO No. 1402
		01402_______FIN
Referred to Committee on FINANCE, REVENUE AND BONDING
Introduced by:
(FIN)

AN ACT CONCERNING IMPOSITION OF THE TOBACCO PRODUCTS TAX.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. Section 12-330c of the 2018 supplement to the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2018):

(a) (1) A tax is imposed on all untaxed tobacco products held in this state by any person. Except as otherwise provided in [subdivision] subdivisions (2) and (3) of this subsection, [with respect to the tax on cigars, or in subdivision (3) of this subsection with respect to the rate of tax on snuff tobacco products,] the tax shall be imposed at the rate of fifty per cent of the wholesale sales price of such products.

(2) Notwithstanding the provisions of subdivision (1) of this subsection, in the case of cigars the tax shall not exceed fifty cents per cigar.

(3) The tax shall be imposed on snuff tobacco products, on the net weight as listed by the manufacturer, as follows: Three dollars per ounce of snuff and a proportionate tax at the like rate on all fractional parts of an ounce of snuff.

(b) (1) Such tax shall be imposed on the distributor or the unclassified importer at the time the tobacco product is manufactured, purchased, imported, received or acquired in this state.

(2) A distributor that owns tangible personal property located on the premises of a fulfillment services center shall not be deemed to be a distributor for cigars exported from this state. For the purposes of this subdivision, "fulfillment services" means services that are performed by a person on its premises on behalf of a distributor or a purchaser of such services and that involve (A) the receipt of orders from such distributor or purchaser, or an agent thereof, which orders are to be filled by the person from an inventory of products that are offered for sale by such distributor or purchaser, and (B) the shipment of such orders to customers of such distributor or purchaser.

(c) Such tax shall not be imposed on any tobacco products that (1) are exported from [the] this state, or (2) are not subject to taxation by this state pursuant to any laws of the United States.

(d) Any tax imposed under this chapter shall be reduced by fifty per cent for any product the Secretary of the United States Department of Health and Human Services determines to be a modified risk tobacco product pursuant to 21 USC 387k, as amended from time to time.


This act shall take effect as follows and shall amend the following sections:
Section 1	July 1, 2018	12-330c

Statement of Purpose:

To provide that a distributor that owns tangible personal property located on the premises of a fulfillment services center shall not be deemed to be a distributor for purposes of the tobacco products tax for cigars exported from this state.

[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.]