October
13, 2000
Othello – The Liquor Control Board seized 2,305 cartons of untaxed cigarettes last night that were headed for Western Washington. The seizure took place 23 miles East of Othello, Washington.
The 2,305 cartons of cigarettes represent a wholesale value of $39,011 and $19,016.25 in evaded taxes. Liquor and Tobacco Agents also confiscated the 1996 Chevrolet Van that was used for transportation of the illegal cigarettes.
Two subjects were booked into jail and will be arraigned on charges of felony possession and transportation of untaxed cigarettes. The penalties for possession of untaxed cigarettes are as follows:
- Seizure of untaxed cigarettes.
- A remedial penalty of $10 per pack of cigarettes or $250 minimum penalty, whichever is greater.
- Payment of cigarette tax and interest
- It is a class C felony to be in possession of more than 60,000 untaxed cigarettes.
This seizure is part of an ongoing investigation with further developments in the next few days.
Washington imposes a cigarette tax on the sale, use, consumption, possession or distribution of cigarettes. For a package of 20 cigarettes, the tax is .82 cents or $8.25 per carton.
Currently the state loses 115 million dollars a year due to cigarette tax evasion. The Department of Revenue attributes the source of evasion to:
Native American smoke shops
60%
Military Sales
11%
Casual Smuggling (out of state) 29%
For more information, contact Gigi Zenk at (360) 664-1774.
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