April 20, 1999
CIGARETTES SEIZED FROM PIERCE
COUNTY SMOKE SHOP
Tacoma- Washington State Liquor Control Board
enforcement agents seized 1,431 cartons of cigarettes from a north Pierce County smoke
shop at nine o'clock this morning. The seizure came after an investigation in which state
agents concluded that the smoke shop was selling untaxed cigarettes without a business
license or tobacco retailer license.
The cigarettes in the establishment were inventoried and
seized with a tax value of $11,805.75. The tax on one pack of cigarettes is 82.5 cents and
distributed among four funds:
- General Fund, 23 cents
- Health Care, 41 cents
- Programs to Stop Youth Violence, 10.5 cents
- Water Quality, 8 cents
Because of tax evasion, it is estimated that the state
loses approximately $127 million in cigarette tax revenues, 66% to smoke shops, 12% to
military sales, and 22% to out of state purchases.
Those involved could be charged criminally, civilly or
both. The civil penalty is $10 per pack of cigarettes or $250 minimum, whichever is
greater. The criminal penalty will be determined by the Pierce County Municipal Court. It
is a class C felony to be in possession of more than 60,000 individual cigarettes.
Federal law exempts two categories of individuals from
state tobacco taxes:
- Active duty and retired military personnel and their
immediate family.
- Enrolled members of federally recognized Native American
tribes.
This particular smoke shop has been the subject of several
complaints filed by local retailers. The Liquor Control Board has a tip line set up for
anyone to use if they are in an establishment and notice the sale of unstamped cigarettes.
The number is 1-888-838-3956.
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For more information contact Gigi Zenk (360) 664-1774 or
Tricia Currier at (360) 664-1784. |