Tax Commission, Auditing

Section R865-20T-6

Purchase of Cigarette Stamps Pursuant to Utah Code Ann. Section 59-14-206

Notice of Proposed Rule

(Amendment)

DAR File No.: 34876
Filed: 05/26/2011 11:14:48 AM

RULE ANALYSIS

Purpose of the rule or reason for the change:

The section is unnecessary.

Summary of the rule or change:

The section is removed since it is unnecessary and its procedures are outdated.

State statutory or constitutional authorization for this rule:

• Section 59-14-206

Anticipated cost or savings to:

the state budget:

None--The section is removed since it is unnecessary and its procedures are outdated.

local governments:

None--The section is removed since it is unnecessary and its procedures are outdated.

small businesses:

None--The section is removed since it is unnecessary and its procedures are outdated.

persons other than small businesses, businesses, or local governmental entities:

None--The section is removed since it is unnecessary and its procedures are outdated.

Compliance costs for affected persons:

None--The section is removed since it is unnecessary and its procedures are outdated.

Comments by the department head on the fiscal impact the rule may have on businesses:

None--The section is removed since it is unnecessary and its procedures are outdated.

Michael Cragun, Commissioner

The full text of this rule may be inspected, during regular business hours, at the Division of Administrative Rules, or at:

Tax Commission
Auditing
210 N 1950 W
SALT LAKE CITY, UT 84134

Direct questions regarding this rule to:

• Christa Johnson at the above address, by phone at 801-297-3901, by FAX at 801-297-3907, or by Internet E-mail at cj@utah.gov

Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:

07/15/2011

This rule may become effective on:

07/22/2011

Authorized by:

Michael Cragun, Tax Commissioner

R865. Tax Commission, Auditing.

R865-20T. Tobacco Tax.

[R865-20T-6. Purchase of Cigarette Stamps Pursuant to Utah Code Ann. Section 59-14-206.

(1) Cigarette revenue stamps are sold only to licensed and bonded dealers, except in cases where confiscated merchandise is sold to a person who does not intend to resell the merchandise but purchases it for consumption or use.

(2) Stamps may be delivered to a licensee on credit, provided that the following two conditions are met:

(a) A written request is made naming the person to whom the stamps are to be delivered, and identifying that person by means of signature, and including the address to which the stamps should be delivered.

(b) Only a responsible person of mature age is designated as the agent to whom the stamps are delivered.

(3) In addition to satisfying the conditions of Subsection (2), the licensee shall also comply with Subsection (3)(a), (3)(b), or (3)(c), whichever is appropriate.

(a) In the case of individual ownership, the request for stamps shall be signed by the licensee in the same manner that the signature appears on the licensee's bond.

(b) In the case of a partnership, the request shall be signed by a partner whose signature appears on the bond.

(c) In the case of a corporation, the request shall be signed by a duly authorized officer of the corporation.

 

]KEY: taxation, tobacco products

Date of Enactment or Last Substantive Amendment: [August 12, 2010]2011

Notice of Continuation: March 19, 2007

Authorizing, and Implemented or Interpreted Law: 59-14-102; 59-14-202; 59-14-203.5; 59-14-204[;] through[;] 59-14-206; 59-14-212; 59-14-301[;] through[;] 59-14-303; 59-14-401; 59-[ ]14-404; 59-14-603; 59-14-607