Florida Senate - 2005 COMMITTEE AMENDMENT
Bill No. SB 816
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CHAMBER ACTION
Senate House
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11 The Committee on Regulated Industries (Haridopolos)
12 recommended the following amendment:
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14 Senate Amendment (with title amendment)
15 Delete everything after the enacting clause
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17 and insert:
18 Section 1. Subsections (6) and (7) of section 210.01,
19 Florida Statutes, are amended, and subsections (19) through
20 (22) are added to said section, to read:
21 210.01 Definitions.--When used in this part the
22 following words shall have the meaning herein indicated:
23 (6) "Wholesale dealer" means any person located inside
24 or outside this state who sells cigarettes to retail dealers
25 or other persons for purposes of resale only, or any person
26 who operates more than one cigarette vending machine located
27 in more than one place of business. Such term shall not
28 include any cigarette manufacturer, export warehouse
29 proprietor, or importer with a valid permit under 26 U.S.C. s.
30 5712 if such person sells or distributes cigarettes in this
31 state only to dealers who are agents and who hold valid and
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1 current permits under s. 210.15 or to any cigarette
2 manufacturer, export warehouse proprietor, or importer who
3 holds a valid and current permit under 26 U.S.C. s. 5712.
4 (7) "Retail dealer" means any person located inside or
5 outside this state other than a wholesale dealer engaged in
6 the business of selling cigarettes, including persons issued a
7 permit pursuant to s. 569.003.
8 (19) "Stamp" or "stamps" means the indicia required to
9 be placed on cigarette packages that evidence payment of the
10 tax on cigarettes under s. 210.02.
11 (20) "Importer" means any person with a valid permit
12 under 26 U.S.C. s. 5712 who imports into the United States,
13 directly or indirectly, a finished cigarette for sale or
14 distribution.
15 (21) "Manufacturer" means any domestic person or
16 entity with a valid permit under 26 U.S.C. s. 5712 that
17 manufactures, fabricates, assembles, processes, or labels a
18 finished cigarette.
19 (22) "Counterfeit cigarettes" means cigarettes that
20 have false manufacturing labels, tobacco product packs with
21 counterfeit tax stamps, or any combination thereof.
22 Section 2. Section 210.021, Florida Statutes, is
23 amended to read:
24 210.021 Payment of taxes by electronic funds
25 transfer.--
26 (1) The Secretary of Business and Professional
27 Regulation may require a dealer who sells cigarettes within
28 the state to remit by certified check or electronic funds
29 transfer any tax imposed under s. 210.02 if the taxpayer is
30 subject to the tax and if the total of such taxes he or she
31 paid in the prior year amounted to $50,000 or more.
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1 (2) The Secretary of Business and Professional
2 Regulation shall require for a period not to exceed 12 months
3 that a dealer or agent, during the dealer's or agent's initial
4 period of licensure or appointment, remit by electronic funds
5 transfer any tax imposed under s. 210.02.
6 (3) The division shall adopt rules pursuant to ss.
7 120.536(1) and 120.54 to administer this section.
8 Section 3. Subsection (1) of section 210.06, Florida
9 Statutes, is amended, and subsection (5) is added to said
10 section, to read:
11 210.06 Affixation of stamps; presumption.--
12 (1) Every dealer within or without the state shall
13 affix or cause to be affixed to such package or container of
14 such cigarettes such, stamps as are required under this
15 section within 10 days after receipt of such products. Dealers
16 outside this state shall affix such stamps before the shipment
17 of cigarettes into this state, evidencing the payment of the
18 tax imposed by virtue of this part before such cigarettes are
19 offered for sale or use or consumed or before they are
20 otherwise disposed of in the state.
21 (a) A tax stamp shall be applied to all cigarette
22 packages intended for sale or distribution to consumers
23 subject to the tax imposed under s. 210.02, except as
24 otherwise provided in this part.
25 (b) No stamp shall be applied to any cigarette package
26 exempt from tax under 26 U.S.C. s. 5704 that is distributed by
27 a manufacturer pursuant to federal regulations.
28 (c) Dealers may apply stamps only to cigarette
29 packages received directly from a manufacturer or importer of
30 cigarettes, or a distributing agent representing a
31 manufacturer or importer of cigarettes, who possesses a valid
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1 and current permit under this part.
2 (5) Except as provided in s. 210.04(9) or s.
3 210.09(1), no person, other than a dealer or distributing
4 agent that receives unstamped cigarette packages directly from
5 a cigarette manufacturer or importer in accordance with this
6 section and s. 210.085, shall hold or possess an unstamped
7 cigarette package. Dealers shall be permitted to set aside,
8 without application of stamps, only such part of the dealer's
9 stock that is identified for sale or distribution outside this
10 state. If a dealer maintains stocks of unstamped cigarette
11 packages, such unstamped packages shall be stored separately
12 from stamped product packages. No unstamped cigarette packages
13 shall be transferred by a dealer to another facility of the
14 dealer within this state or to another person within this
15 state.
16 Section 4. Section 210.08, Florida Statutes, is
17 amended to read:
18 210.08 Bond for payment of taxes.--Each dealer, agent,
19 or distributing agent shall file with the division a surety
20 bond, certificate of deposit, or irrevocable letter of credit
21 acceptable to the division in an amount of 110 percent of the
22 estimated tax liability for 30 days, but not less than $2,000.
23 the sum of $10,000 as surety for the payment of all taxes;
24 provided, however, that where in the discretion of the
25 division the amount of business done by the dealer, agent, or
26 distributing agent is of such volume that a bond, certificate
27 of deposit, or irrevocable letter of credit of less than
28 $10,000 will be adequate to secure the payment of all taxes
29 assessed as authorized by the cigarette tax law, the division
30 may accept a bond, certificate of deposit, or irrevocable
31 letter of credit in a lesser sum than $10,000, but in no event
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1 shall it accept a bond, certificate of deposit, or irrevocable
2 letter of credit of less than $1,000, and it may at any time
3 in its discretion require any bond, certificate of deposit, or
4 irrevocable letter of credit in an amount less than $10,000 to
5 be increased not to exceed $10,000.
6 Section 5. Section 210.085, Florida Statutes, is
7 created to read:
8 210.085 Transactions only with permitted
9 manufacturers, importers, distributing agents, dealers, and
10 retail dealers.--Except as otherwise provided in s. 210.04(9),
11 a manufacturer or importer, or a distributing agent
12 representing a manufacturer or importer, may sell or
13 distribute cigarettes to a person located or doing business
14 within this state only if such person is a dealer or importer
15 with a valid, current permit under s. 210.15. A distributing
16 agent may accept cigarettes from a manufacturer or importer
17 with a valid, current permit for transfer to a dealer with a
18 valid, current permit but may not own or sell cigarettes. A
19 dealer may sell or distribute cigarettes to a person located
20 or doing business within this state only if such person is a
21 dealer or retail dealer with a valid, current permit under s.
22 569.003. A dealer may obtain cigarettes only from a
23 manufacturer or importer or from a distributing agent or
24 dealer with a valid, current permit under s. 210.15. A retail
25 dealer may obtain cigarettes only from a dealer with a valid,
26 current permit under s. 210.15.
27 Section 6. Subsections (1), (2), and (3) and paragraph
28 (a) of subsection (4) of section 210.09, Florida Statutes, are
29 amended to read:
30 210.09 Records to be kept; reports to be made;
31 examination.--
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1 (1)(a) Every person who shall possess or transport any
2 unstamped cigarettes upon the public highways, roads, or
3 streets of the state, shall be required to have in his or her
4 actual possession invoices or delivery tickets for such
5 cigarettes. The absence of such invoices or delivery tickets
6 shall be prima facie evidence that such person is a dealer in
7 cigarettes in this state and subject to the provisions of this
8 part.
9 (b) Any person who ships unstamped cigarette packages
10 into this state other than to a manufacturer, an importer, or
11 a distributing agent representing a manufacturer or an
12 importer, or dealer holding a valid, current permit pursuant
13 to s. 210.15 shall first file with the division a notice of
14 such shipment. This paragraph shall not apply to any common or
15 contract carrier that is transporting cigarettes through this
16 state to another location outside this state under a proper
17 bill of lading or freight bill that states the quantity,
18 source, and destination of such cigarettes or to cigarettes
19 shipped or otherwise transported pursuant to s. 210.04(9).
20 (c) In any case in which the division or its duly
21 authorized agent, or any law enforcement officer of this
22 state, has knowledge or reasonable grounds to believe that any
23 vehicle is transporting cigarettes in violation of this part,
24 the division, such agent, or such law enforcement officer is
25 authorized to stop such vehicle and inspect the vehicle for
26 contraband cigarettes.
27 (2) The division is authorized to prescribe and
28 promulgate by rules and regulations, which shall have the
29 force and effect of the law, such records to be kept and
30 reports to be made to the division by any manufacturer,
31 importer, distributing agent, wholesale dealer, retail dealer,
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1 common carrier, or any other person handling, transporting or
2 possessing cigarettes for sale or distribution within the
3 state as may be necessary to collect and properly distribute
4 the taxes imposed by s. 210.02. All reports shall be made on
5 or before the 10th day of the month following the month for
6 which the report is made, unless the division by rule or
7 regulation shall prescribe that reports be made more often.
8 (3) All manufacturers, importers, distributing agents,
9 wholesale dealers, agents, or retail dealers shall maintain
10 and keep for a period of 3 years at the place of business
11 where any transaction takes place, such records of cigarettes
12 received, sold, or delivered within the state as may be
13 required by the division. The division or its duly authorized
14 representative is hereby authorized to examine the books,
15 papers, invoices, and other records, the stock of cigarettes
16 in and upon any premises where the same are placed, stored,
17 and sold, and the equipment of any such manufacturers,
18 importers, distributing agents, wholesale dealers, agents, or
19 retail dealers, pertaining to the sale and delivery of
20 cigarettes taxable under this part. To verify the accuracy of
21 the tax imposed and assessed by this part, each person is
22 hereby directed and required to give to the division or its
23 duly authorized representatives the means, facilities, and
24 opportunity for such examinations as are herein provided for
25 and required.
26 (4)(a) All persons who are either cigarette
27 manufacturers, importers, wholesalers, vending machine
28 operators or distributing agents, and agents and employees of
29 the same, are required to keep daily sales tickets or invoices
30 of cigarette sales and it shall be the duty of said persons to
31 see that each sales ticket and invoice handled by them or on
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1 behalf of them show the correct name and address to whom sold
2 and the number of packages or cartons of each brand sold. It
3 shall also be the duty of said persons to see that each sales
4 ticket or invoice correctly shows whether the same is inside
5 or outside of a qualified municipality and if the sale is made
6 within the limits of a qualified municipality, the correct
7 name of the municipality must be indicated.
8 Section 7. Subsection (1) of section 210.12, Florida
9 Statutes, is amended, subsections (2) through (6) of said
10 section are renumbered as subsections (4) through (8),
11 respectively, and new subsections (2) and (3) are added to
12 said section, to read:
13 210.12 Seizures; forfeiture proceedings.--
14 (1) The state, acting by and through the division,
15 shall be authorized and empowered to seize, confiscate, and
16 forfeit for the use and benefit of the state, any cigarettes
17 upon which taxes payable hereunder may be unpaid or that are
18 otherwise held in violation of the requirements of this
19 chapter, and also any vending machine or receptacle in which
20 such cigarettes upon which taxes have not been paid are held
21 for sale, or any vending machine that does not have affixed
22 thereto the identification sticker required by the provisions
23 of s. 210.07, or which does not display at all times at least
24 one package of each brand of cigarettes located therein so the
25 same is clearly visible and arranged in such a manner that the
26 cigarette tax stamp or meter impression of the stamp affixed
27 thereto is clearly visible. Such seizure may be made by the
28 division, its duly authorized representative, any sheriff or
29 deputy sheriff, or any police officer.
30 (2) All fixtures, equipment, and other materials and
31 personal property on the premises of any dealer, retail
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1 dealer, or distributing agent who, with intent to defraud the
2 state, fails to keep or make any record, return, report, or
3 inventory required by this part; keeps or makes any false or
4 fraudulent record, return, report, or inventory required by
5 this part; refuses to pay any tax imposed by this part; or
6 attempts in any manner to evade or defeat the requirements of
7 this part shall be forfeited to the state.
8 (3) All cigarettes seized, confiscated, and forfeited
9 to the state under this part shall be destroyed.
10 Section 8. Subsection (1) of section 210.15, Florida
11 Statutes, is amended to read:
12 210.15 Permits.--
13 (1)(a) Every person, firm, or corporation desiring to
14 engage in business as a manufacturer, importer, exporter,
15 distributing agent, or wholesale dealer of cigarettes deal in
16 cigarettes as a distributing agent, wholesale dealer, or
17 exporter within this state shall file with the division an
18 application for a cigarette permit for each place of business
19 located within this state or, in the absence of such place of
20 business in this state, for wherever its principal place of
21 business is located with the Division of Alcoholic Beverages
22 and Tobacco. Every application for a cigarette permit shall be
23 made on forms furnished by the division and shall set forth
24 the name under which the applicant transacts or intends to
25 transact business, the location of the applicant's place of
26 business within the state, if any, and such other information
27 as the division may require. If the applicant has or intends
28 to have more than one place of business dealing in cigarettes
29 within this state, the application shall state the location of
30 each place of business. If the applicant is an association,
31 the application shall set forth the names and addresses of the
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1 persons constituting the association, and if a corporation,
2 the names and addresses of the principal officers thereof and
3 any other information prescribed by the division for the
4 purpose of identification. The application shall be signed and
5 verified by oath or affirmation by the owner, if a natural
6 person, and in the case of an association or partnership,
7 members or partners thereof, and in the case of a corporation,
8 by an executive officer thereof or by any person specifically
9 authorized by the corporation to sign the application, to
10 which shall be attached the written evidence of this
11 authority. The cigarette permit for a distributing agent shall
12 be issued annually for which an annual fee of $5 shall be
13 charged.
14 (b) The holder of any duly issued, annual permit for a
15 distributing agent shall be entitled to a renewal of his or
16 her annual permit from year to year as a matter of course, on
17 or before July 1, upon making application to the division and
18 upon payment of this annual permit fee.
19 (b)(c) Permits The permit for a distributing agent,
20 wholesale dealer, or exporter shall be issued only to persons
21 of good moral character, who are not less than 18 years of
22 age. Distributing agent, wholesale dealer, or exporter Permits
23 to corporations shall be issued only to corporations whose
24 officers are of good moral character and not less than 18
25 years of age. There shall be no exemptions from the permit
26 fees herein provided to any persons, association of persons,
27 or corporation, any law to the contrary notwithstanding.
28 (c) No distributing agent, wholesale dealer, or
29 exporter permit under this part or chapter 569 shall be
30 issued, maintained, or renewed if the applicant, its officers,
31 or any person or persons owning directly or indirectly, in the
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1 aggregate, more than 10 percent of the ownership interests in
2 the applicant:
3 1. Has been finally adjudicated as owing $500 or more
4 in delinquent cigarette taxes;
5 2. Had a permit revoked by the division within the
6 previous 2 years;
7 3. Has been convicted of selling stolen or counterfeit
8 cigarettes, receiving stolen cigarettes, or being involved in
9 the counterfeiting of cigarettes;
10 4. to any person who Has been convicted within the
11 past 5 years of any offense against the cigarette laws of this
12 state or who has been convicted in this state, any other
13 state, or the United States during the past 5 years of any
14 offense designated as a felony by such state or the United
15 States, or to a corporation, any of whose officers have been
16 so convicted. The term "convicted conviction" shall include an
17 adjudication of guilt on a plea of guilty or a plea of nolo
18 contendere, or the forfeiture of a bond when charged with a
19 crime;.
20 5. Has imported, or caused to be imported, into the
21 United States any cigarette in violation of 19 U.S.C. s.
22 1681a; or
23 6. Has imported, or caused to be imported into the
24 United States, or manufactured for sale or distribution in the
25 United States, any cigarette that does not fully comply with
26 the Federal Cigarette Labeling and Advertising Act (15 U.S.C.
27 ss. 1331 et seq.).
28 (d) The division may refuse to issue a distributing
29 agent, wholesale, or exporter permit to any person, firm, or
30 corporation whose permit under the cigarette law has been
31 revoked, or to any corporation, an officer of which has had
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1 his or her permit under the cigarette law revoked, or to any
2 person who is or has been an officer of a corporation whose
3 permit has been revoked under the cigarette law. Any permit
4 issued to a firm or corporation prohibited from obtaining such
5 permit under the cigarette law may be revoked by the division.
6 (e) Prior to an application for a distributing agent,
7 wholesale dealer, or exporter permit being approved, the
8 applicant shall file a set of fingerprints on forms provided
9 by the division. The applicant shall also file a set of
10 fingerprints for any person or persons interested directly or
11 indirectly with the applicant in the business for which the
12 permit is being sought, when so required by the division. If
13 the applicant or any person interested with the applicant,
14 either directly or indirectly, in the business for which the
15 permit is sought shall be such a person as is within the
16 definition of persons to whom a distributing agent, wholesale
17 dealer, or exporter permit shall be denied, then the
18 application may be denied by the division. If the applicant is
19 a partnership, all members of the partnership are required to
20 file said fingerprints, or if a corporation, all principal
21 officers of the corporation are required to file said
22 fingerprints. The cigarette permit for a manufacturer,
23 importer, distributing agent, wholesale dealer, or exporter
24 shall be originally issued at a fee of $100, which sum is to
25 cover the cost of the investigation required before issuing
26 such permit.
27 (f) The cigarette permits issued under this section
28 permit for a wholesale dealer or exporter shall be renewed
29 from year to year as a matter of course, at an annual cost of
30 $100, on or before July 1, upon making application to the
31 division and upon payment of the annual renewal fee.
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1 (g) Permittees, by acceptance of their permits, agree
2 that their places of business or vehicles transporting
3 cigarettes shall always be subject to be inspected and
4 searched without a search warrant for the purpose of
5 ascertaining that all provisions of this part are complied
6 with by authorized employees of the division and also by
7 sheriffs, deputy sheriffs, and police officers during business
8 hours or during any other time such premises are occupied by
9 the permittee or other persons. Retail cigarette dealers and
10 manufacturers' representatives, by dealing in cigarettes,
11 agree that their places of business or vehicles transporting
12 cigarettes shall always be subject to inspection and search
13 without a search warrant for the purpose of ascertaining that
14 all provisions of this part are complied with by authorized
15 employees of the division and also by sheriffs, deputy
16 sheriffs, and police officers during business hours or other
17 times when the premises are occupied by the retail dealer or
18 manufacturers' representatives or other persons.
19 (h) No retail sales of cigarettes may be made at a
20 location for which a wholesale dealer, distributing agent, or
21 exporter permit has been issued. The excise tax on sales made
22 to any traveling location, such as an itinerant store or
23 industrial caterer, shall be paid into the General Revenue
24 Fund unallocated. Cigarettes may be purchased for retail
25 purposes only from a person holding a wholesale dealer permit.
26 The invoice for the purchase of cigarettes must show the place
27 of business for which the purchase is made and the cigarettes
28 cannot be transferred to any other place of business for the
29 purpose of resale.
30 Section 9. Section 210.16, Florida Statutes, is
31 amended to read:
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1 210.16 Revocation or suspension of permit.--
2 (1) The Division of Alcoholic Beverages and Tobacco is
3 given full power and authority to revoke the permit of any
4 person wholesale dealer receiving a permit to engage in
5 business under this part or chapter 569 for violation of any
6 of the provisions of this part or chapter 569.
7 (2) The division shall revoke the permit or permits of
8 any person who would be ineligible to obtain a new license or
9 renew a license by reason of any of the conditions for
10 permitting provided in s. 210.15(1)(c)1.-6.
11 (3)(2) The division may suspend for a reasonable
12 period of time or revoke, in its discretion, the permits of
13 wholesale dealers issued under the provisions of this part or
14 chapter 569 to any person who has violated any other provision
15 of this part or chapter 569 for the same causes and under the
16 same limitations as is authorized hereunder to revoke the
17 permits of such wholesale dealers.
18 (4)(3) No person wholesale dealer whose permit for any
19 place of business has been revoked shall engage in business
20 under this part or chapter 569 at such place of business after
21 such revocation until a new permit is issued. No person
22 wholesale dealer whose permit for any place of business has
23 been revoked shall be permitted to have said permit renewed,
24 or to obtain an additional cigarette permit for any other
25 place of business, for a period of 2 years 6 months after the
26 date such revocation becomes final.
27 (5)(4) In addition to lieu of the suspension or
28 revocation of permits, the division may impose civil penalties
29 against holders of permits for violations of this part or
30 rules and regulations relating thereto. No civil penalty so
31 imposed shall exceed $2,500 $1,000 for each offense, and all
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1 amounts collected shall be deposited with the Chief Financial
2 Officer to the credit of the General Revenue Fund. If the
3 holder of the permit fails to pay the civil penalty, his or
4 her permit shall be suspended for such period of time as the
5 division may specify.
6 Section 10. Subsections (2),(3), and (7) of section
7 210.18, Florida Statutes, are amended, and subsection (9) is
8 added to said section, to read:
9 210.18 Penalties for tax evasion; reports by
10 sheriffs.--
11 (2) Except as otherwise provided in this section, any
12 person wholesale or retail dealer who fails, neglects, or
13 refuses to comply with, or violates the provisions of, this
14 part or the rules adopted and regulations promulgated by the
15 division under this part commits is guilty of a misdemeanor of
16 the first degree, punishable as provided in s. 775.082 or s.
17 775.083. Any person wholesale or retail dealer who has been
18 convicted of a violation of any provision of the cigarette tax
19 law and who is thereafter convicted of a further violation of
20 the cigarette tax law commits is, upon conviction of such
21 further offense, guilty of a felony of the third degree,
22 punishable as provided in s. 775.082, s. 775.083, or s.
23 775.084.
24 (3) Any person who falsely or fraudulently makes,
25 forges, alters, or counterfeits any stamp or impression die
26 used in meter machines prescribed by the division under the
27 provisions of this part; or, with intent to evade taxes, jams,
28 tampers with, or alters such a machine; or causes or procures
29 to be falsely or fraudulently made, forged, altered, or
30 counterfeited any such stamp or die; or knowingly and
31 willfully utters, purchases, passes or tenders as true any
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1 such false, altered, or counterfeited stamp or die impression;
2 or, with the intent to defraud the state, fails to comply with
3 any other requirement of this chapter commits is guilty of a
4 felony of the third degree, punishable as provided in s.
5 775.082, s. 775.083, or s. 775.084.
6 (7) Any sheriff, deputy sheriff, or police officer, or
7 state law enforcement officer, upon the seizure of any
8 unstamped cigarettes under this section, shall promptly report
9 such seizure to the division or its representative, together
10 with a description of all such unstamped cigarettes seized, so
11 that the state may be kept informed as to the size and
12 magnitude of the illicit cigarette business. The division
13 shall keep records showing the number of seizures and seized
14 cigarettes reported to, or seized by, the division.
15 (9) Notwithstanding any other provision of law, the
16 sale or possession for sale of counterfeit cigarettes by any
17 person or by a manufacturer, importer, distributing agent,
18 wholesale dealer, or retail dealer shall result in the seizure
19 of the product and related machinery by the division or any
20 law enforcement agency and may be punishable as follows:
21 (a)1. A first violation with a total quantity of less
22 than two cartons of cigarettes or the equivalent amount of
23 other cigarettes by a person who does not hold a permit or who
24 holds a retail permit pursuant to this part and 10 cartons or
25 the equivalent amount of other cigarettes by the holder of any
26 other type of permit may be punishable by a fine not to exceed
27 $1,000 or five times the retail value of the cigarettes
28 involved, whichever is greater, or imprisonment not to exceed
29 5 years, or both.
30 2. A subsequent violation with a total quantity of
31 less than two cartons of cigarettes or the equivalent amount
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1 of other cigarettes by a person who does not hold a permit or
2 who holds a retail permit pursuant to this part and 10 cartons
3 or the equivalent amount of other cigarettes by the holder of
4 any other type of permit may be punishable by a fine not to
5 exceed $5,000 or five times the retail value of the cigarettes
6 involved, whichever is greater, or imprisonment not to exceed
7 5 years, or both, and shall also result in the revocation by
8 the division of the permit of the manufacturer, importer,
9 distributing agent, wholesale dealer, or retail dealer.
10 (b)1. A first violation with a total quantity of two
11 or more cartons of cigarettes or the equivalent amount of
12 other cigarettes by a person who does not hold a permit or
13 who holds a retail permit pursuant to this part and 10 cartons
14 or the equivalent amount of other cigarettes by the holder of
15 any other type of permit may be punishable by a fine not to
16 exceed $2,000 or five times the retail value of the cigarettes
17 involved, whichever is greater, or imprisonment not to exceed
18 5 years, or both.
19 2. A subsequent violation with a quantity of two
20 cartons of cigarettes or more or the equivalent amount of
21 other cigarettes by a person who does not hold a permit or
22 who holds a retail permit pursuant to this part and 10 cartons
23 or the equivalent amount of other cigarettes by the holder of
24 any other type of permit may be punishable by a fine not to
25 exceed $50,000 or five times the retail value of the
26 cigarettes involved, whichever is greater, or imprisonment not
27 to exceed 5 years, or both, and shall also result in the
28 revocation by the division of the permit of the manufacturer,
29 importer, distributing agent, wholesale dealer, or retail
30 dealer.
31 For purposes of this subsection, any counterfeit
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1 cigarettes seized by the division shall be destroyed.
2 Section 11. Section 210.181, Florida Statutes, is
3 created to read:
4 210.181 Civil penalties.--
5 (1) Except as provided in s. 210.16(5), whoever
6 knowingly omits, neglects, or refuses to comply with any duty
7 imposed upon him or her by this part, or to do or cause to be
8 done any of the things required by this part, or does anything
9 prohibited by this part shall, in addition to any other
10 penalty provided in this part, be liable for a fine of $1,000
11 or five times the retail value of the cigarettes involved,
12 whichever is greater.
13 (2) Whoever fails to pay any tax imposed by this part
14 at the time prescribed by law or rules shall, in addition to
15 any other penalty provided in this part, be liable for a
16 penalty of five times the unpaid tax due.
17 Section 12. For the purpose of incorporating the
18 amendment to section 210.18, Florida Statutes, in a reference
19 thereto, paragraph (a) of subsection (1) of section 772.102,
20 Florida Statutes, is reenacted to read:
21 772.102 Definitions.--As used in this chapter, the
22 term:
23 (1) "Criminal activity" means to commit, to attempt to
24 commit, to conspire to commit, or to solicit, coerce, or
25 intimidate another person to commit:
26 (a) Any crime which is chargeable by indictment or
27 information under the following provisions:
28 1. Section 210.18, relating to evasion of payment of
29 cigarette taxes.
30 2. Section 414.39, relating to public assistance
31 fraud.
18
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1 3. Section 440.105 or s. 440.106, relating to workers'
2 compensation.
3 4. Part IV of chapter 501, relating to telemarketing.
4 5. Chapter 517, relating to securities transactions.
5 6. Section 550.235, s. 550.3551, or s. 550.3605,
6 relating to dogracing and horseracing.
7 7. Chapter 550, relating to jai alai frontons.
8 8. Chapter 552, relating to the manufacture,
9 distribution, and use of explosives.
10 9. Chapter 562, relating to beverage law enforcement.
11 10. Section 624.401, relating to transacting insurance
12 without a certificate of authority, s. 624.437(4)(c)1.,
13 relating to operating an unauthorized multiple-employer
14 welfare arrangement, or s. 626.902(1)(b), relating to
15 representing or aiding an unauthorized insurer.
16 11. Chapter 687, relating to interest and usurious
17 practices.
18 12. Section 721.08, s. 721.09, or s. 721.13, relating
19 to real estate timeshare plans.
20 13. Chapter 782, relating to homicide.
21 14. Chapter 784, relating to assault and battery.
22 15. Chapter 787, relating to kidnapping.
23 16. Chapter 790, relating to weapons and firearms.
24 17. Section 796.03, s. 796.04, s. 796.05, or s.
25 796.07, relating to prostitution.
26 18. Chapter 806, relating to arson.
27 19. Section 810.02(2)(c), relating to specified
28 burglary of a dwelling or structure.
29 20. Chapter 812, relating to theft, robbery, and
30 related crimes.
31 21. Chapter 815, relating to computer-related crimes.
19
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1 22. Chapter 817, relating to fraudulent practices,
2 false pretenses, fraud generally, and credit card crimes.
3 23. Section 827.071, relating to commercial sexual
4 exploitation of children.
5 24. Chapter 831, relating to forgery and
6 counterfeiting.
7 25. Chapter 832, relating to issuance of worthless
8 checks and drafts.
9 26. Section 836.05, relating to extortion.
10 27. Chapter 837, relating to perjury.
11 28. Chapter 838, relating to bribery and misuse of
12 public office.
13 29. Chapter 843, relating to obstruction of justice.
14 30. Section 847.011, s. 847.012, s. 847.013, s.
15 847.06, or s. 847.07, relating to obscene literature and
16 profanity.
17 31. Section 849.09, s. 849.14, s. 849.15, s. 849.23,
18 or s. 849.25, relating to gambling.
19 32. Chapter 893, relating to drug abuse prevention and
20 control.
21 33. Section 914.22 or s. 914.23, relating to
22 witnesses, victims, or informants.
23 34. Section 918.12 or s. 918.13, relating to tampering
24 with jurors and evidence.
25 Section 13. For the purpose of incorporating the
26 amendment to section 210.18, Florida Statutes, in a reference
27 thereto, paragraph (a) of subsection (1) of section 895.02,
28 Florida Statutes, is reenacted to read:
29 895.02 Definitions.--As used in ss. 895.01-895.08, the
30 term:
31 (1) "Racketeering activity" means to commit, to
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1 attempt to commit, to conspire to commit, or to solicit,
2 coerce, or intimidate another person to commit:
3 (a) Any crime which is chargeable by indictment or
4 information under the following provisions of the Florida
5 Statutes:
6 1. Section 210.18, relating to evasion of payment of
7 cigarette taxes.
8 2. Section 403.727(3)(b), relating to environmental
9 control.
10 3. Section 409.920 or s. 409.9201, relating to
11 Medicaid fraud.
12 4. Section 414.39, relating to public assistance
13 fraud.
14 5. Section 440.105 or s. 440.106, relating to workers'
15 compensation.
16 6. Section 465.0161, relating to distribution of
17 medicinal drugs without a permit as an Internet pharmacy.
18 7. Sections 499.0051, 499.0052, 499.00535, 499.00545,
19 and 499.0691, relating to crimes involving contraband and
20 adulterated drugs.
21 8. Part IV of chapter 501, relating to telemarketing.
22 9. Chapter 517, relating to sale of securities and
23 investor protection.
24 10. Section 550.235, s. 550.3551, or s. 550.3605,
25 relating to dogracing and horseracing.
26 11. Chapter 550, relating to jai alai frontons.
27 12. Chapter 552, relating to the manufacture,
28 distribution, and use of explosives.
29 13. Chapter 560, relating to money transmitters, if
30 the violation is punishable as a felony.
31 14. Chapter 562, relating to beverage law enforcement.
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1 15. Section 624.401, relating to transacting insurance
2 without a certificate of authority, s. 624.437(4)(c)1.,
3 relating to operating an unauthorized multiple-employer
4 welfare arrangement, or s. 626.902(1)(b), relating to
5 representing or aiding an unauthorized insurer.
6 16. Section 655.50, relating to reports of currency
7 transactions, when such violation is punishable as a felony.
8 17. Chapter 687, relating to interest and usurious
9 practices.
10 18. Section 721.08, s. 721.09, or s. 721.13, relating
11 to real estate timeshare plans.
12 19. Chapter 782, relating to homicide.
13 20. Chapter 784, relating to assault and battery.
14 21. Chapter 787, relating to kidnapping.
15 22. Chapter 790, relating to weapons and firearms.
16 23. Section 796.03, s. 796.035, s. 796.04, s. 796.045,
17 s. 796.05, or s. 796.07, relating to prostitution and sex
18 trafficking.
19 24. Chapter 806, relating to arson.
20 25. Section 810.02(2)(c), relating to specified
21 burglary of a dwelling or structure.
22 26. Chapter 812, relating to theft, robbery, and
23 related crimes.
24 27. Chapter 815, relating to computer-related crimes.
25 28. Chapter 817, relating to fraudulent practices,
26 false pretenses, fraud generally, and credit card crimes.
27 29. Chapter 825, relating to abuse, neglect, or
28 exploitation of an elderly person or disabled adult.
29 30. Section 827.071, relating to commercial sexual
30 exploitation of children.
31 31. Chapter 831, relating to forgery and
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1 counterfeiting.
2 32. Chapter 832, relating to issuance of worthless
3 checks and drafts.
4 33. Section 836.05, relating to extortion.
5 34. Chapter 837, relating to perjury.
6 35. Chapter 838, relating to bribery and misuse of
7 public office.
8 36. Chapter 843, relating to obstruction of justice.
9 37. Section 847.011, s. 847.012, s. 847.013, s.
10 847.06, or s. 847.07, relating to obscene literature and
11 profanity.
12 38. Section 849.09, s. 849.14, s. 849.15, s. 849.23,
13 or s. 849.25, relating to gambling.
14 39. Chapter 874, relating to criminal street gangs.
15 40. Chapter 893, relating to drug abuse prevention and
16 control.
17 41. Chapter 896, relating to offenses related to
18 financial transactions.
19 42. Sections 914.22 and 914.23, relating to tampering
20 with a witness, victim, or informant, and retaliation against
21 a witness, victim, or informant.
22 43. Sections 918.12 and 918.13, relating to tampering
23 with jurors and evidence.
24 Section 14. This act shall take effect October 1,
25 2005.
26
27
28 ================ T I T L E A M E N D M E N T ===============
29 And the title is amended as follows:
30 Delete everything before the enacting clause
31
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1 and insert:
2 An act relating to contraband and counterfeit
3 cigarettes and collection of existing taxes;
4 providing additional regulatory and enforcement
5 measures; amending s. 210.01, F.S.; revising
6 and providing definitions; amending s. 210.021,
7 F.S.; directing the Secretary of Business and
8 Professional Regulation to require certain
9 dealers and agents to remit the tax on
10 cigarettes by certified check or electronic
11 funds transfer; requiring the Division of
12 Alcoholic Beverages and Tobacco of the
13 Department of Business and Professional
14 Regulation to adopt rules governing the payment
15 of taxes by electronic funds transfer; amending
16 s. 210.06, F.S.; revising requirements for and
17 limitations on the affixation of stamps;
18 providing requirements with respect to receipt,
19 possession, storage, and transport of unstamped
20 cigarette packages; amending s. 210.08, F.S.;
21 revising the amount of the surety bond,
22 certificate of deposit, or irrevocable letter
23 of credit required by the division as surety
24 for the payment of cigarette taxes; providing
25 for exceptions; creating s. 210.085, F.S.;
26 requiring manufacturers, importers,
27 distributing agents, dealers, and retail
28 dealers to hold a current, valid permit to
29 sell, distribute, or receive cigarettes;
30 amending s. 210.09, F.S.; providing notice and
31 filing guidelines for certain persons shipping
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1 unstamped cigarette packages; authorizing
2 certain law enforcement officials to inspect
3 certain shipping vehicles; providing for
4 application to and records requirements of
5 manufacturers and importers; amending s.
6 210.12, F.S.; authorizing the state to claim
7 certain property and materials from certain
8 dealers and retailers who attempt to defraud
9 the state; authorizing the destruction of
10 certain cigarettes; amending s. 210.15, F.S.;
11 providing criteria for permit application;
12 prohibiting issuance, maintenance, or renewal
13 of certain permits for certain applicants;
14 providing guidelines for permit application
15 denial; amending s. 210.16, F.S.; revising the
16 authority of the Division of Alcoholic
17 Beverages and Tobacco to revoke or suspend the
18 permits of certain persons under certain
19 circumstances; revising a penalty period for
20 revoked permits; increasing a civil penalty;
21 amending s. 210.18, F.S.; expanding the group
22 of violators subject to criminal liability;
23 prohibiting the sale or possession for sale of
24 counterfeit cigarettes; providing penalties;
25 requiring that the seizure of unstamped
26 cigarettes be reported to the division;
27 requiring the division to keep records
28 concerning seized unstamped cigarettes;
29 creating s. 210.181, F.S.; providing civil
30 penalties for failure to comply with certain
31 duties or pay certain taxes; reenacting ss.
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1 772.102(1)(a) and 895.02(1)(a), F.S., relating
2 to crimes constituting a "criminal activity"
3 and definitions as used in the Florida RICO
4 Act, to incorporate the amendment to s. 210.18,
5 F.S., in references thereto; providing an
6 effective date.
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