Florida Senate - 2016                                    SB 1558
       
       
        
       By Senator Evers
       
       2-01052A-16                                           20161558__
    1                        A bill to be entitled                      
    2         An act relating to an exemption from the cigarette tax
    3         and surcharge; amending s. 210.1801, F.S.; authorizing
    4         an Indian tribe to use certain excess Indian-tax-and
    5         surcharge-exemption coupons for sales on the tribe’s
    6         reservation to nontribal members under certain
    7         circumstances; providing an effective date.
    8          
    9  Be It Enacted by the Legislature of the State of Florida:
   10  
   11         Section 1. Subsection (1), paragraph (a) of subsection (3),
   12  and subsection (4) of section 210.1801, Florida Statutes, are
   13  amended to read:
   14         210.1801 Exempt cigarettes for members of recognized Indian
   15  tribes.—
   16         (1) Notwithstanding any provision of this chapter to the
   17  contrary, a member of an Indian tribe recognized in this state
   18  who purchases cigarettes on an Indian reservation for his or her
   19  own use is exempt from paying a cigarette tax and surcharge.
   20  However, such member purchasing cigarettes outside of an Indian
   21  reservation or a nontribal member purchasing cigarettes on an
   22  Indian reservation is not exempt from paying the cigarette tax
   23  or surcharge when purchasing cigarettes within this state,
   24  unless the nontribal member purchases cigarettes on an Indian
   25  reservation as set forth in paragraph (3)(a). Accordingly, the
   26  tax and surcharge shall apply to all cigarettes sold on an
   27  Indian reservation to a nontribal member, and evidence of such
   28  tax or surcharge shall be by means of an affixed cigarette tax
   29  and surcharge stamp.
   30         (3) Indian-tax-and-surcharge-exemption coupons shall be
   31  provided to the recognized governing body of each Indian tribe
   32  to ensure that each Indian tribe can obtain cigarettes that are
   33  exempt from the tax and surcharge which are for the use of the
   34  tribe or its members. The Indian-tax-and-surcharge-exemption
   35  coupons shall be provided to the Indian tribes quarterly. It is
   36  intended that each Indian tribe will distribute the Indian-tax
   37  and-surcharge-exemption coupons to reservation cigarette sellers
   38  on such tribe’s reservation. Only Indian tribes or reservation
   39  cigarette sellers on their reservations may redeem such Indian
   40  tax-and-surcharge-exemption coupons pursuant to this section.
   41         (a) The number of Indian-tax-and-surcharge-exemption
   42  coupons to be given to the recognized governing body of each
   43  Indian tribe shall be based upon the probable demand of the
   44  tribal members on the tribe’s reservation plus the number needed
   45  for official tribal use. The annual total number of Indian-tax
   46  and-surcharge-exemption coupons to be given to the recognized
   47  governing body of each Indian tribe shall be calculated by
   48  multiplying the number of members of the tribe times five packs
   49  of cigarettes times 365. If, based on probable demand, the
   50  number of Indian-tax-and-surcharge-exemption coupons given to
   51  the governing body of a recognized Indian tribe exceeds the
   52  actual demand of the tribal members plus the number needed for
   53  official tribal use, the tribe may use the excess coupons to
   54  sell tax-and-surcharge-free cigarettes to nontribal members on
   55  the reservation.
   56         (4)(a) An Indian tribe may purchase cigarettes for its own
   57  official use from a wholesale dealer without payment of the
   58  cigarette tax and surcharge to the extent that the Indian tribe
   59  provides the wholesale dealer with Indian-tax-and-surcharge
   60  exemption coupons entitling the Indian tribe to purchase such
   61  quantities of cigarettes as allowed by each Indian-tax-and
   62  surcharge-exemption coupon without paying the cigarette tax and
   63  surcharge.
   64         (b) A tribal member may purchase cigarettes for his or her
   65  own use without payment of the cigarette tax and surcharge if
   66  the tribal member makes such purchase on a qualified
   67  reservation.
   68         (c) A nontribal member may purchase cigarettes for his or
   69  her own use without payment of the cigarette tax and surcharge
   70  if the nontribal member makes the purchase on an Indian
   71  reservation as set forth in paragraph (3)(a).
   72         (d)(c) A reservation cigarette seller may purchase
   73  cigarettes for resale without payment of the cigarette tax from
   74  a wholesale dealer licensed pursuant to this chapter:
   75         1. If the reservation cigarette seller brings the
   76  cigarettes or causes them to be delivered onto a qualified
   77  reservation for resale on the reservation;
   78         2. To the extent that the reservation cigarette seller
   79  provides the wholesale dealer with Indian-tax-and-surcharge
   80  exemption coupons entitling the reservation cigarette seller to
   81  purchase such quantities of cigarettes as allowed on each
   82  Indian-tax-and-surcharge-exemption coupon without paying the
   83  cigarette tax and surcharge; and
   84         3. If the cigarettes are affixed with a cigarette tax and
   85  surcharge stamp.
   86         (e)(d) A wholesale dealer may not collect the cigarette tax
   87  and surcharge from any purchaser if the purchaser gives the
   88  dealer Indian-tax-and-surcharge-exemption coupons that entitle
   89  the purchaser to purchase such quantities of cigarettes as
   90  allowed on each such Indian-tax-and-surcharge-exemption coupon
   91  without paying the cigarette tax and surcharge.
   92         Section 2. This act shall take effect July 1, 2016.