Signed by Governor Mike Beebe

Vote Smart's Synopsis:

Vote to pass a bill that increases taxes on tobacco products.

Highlights:

-Levies an additional tax of $28.00 per 1,000 cigarettes sold in Arkansas (Sec. 4). -Lowers the minimum commissions for the sales and collection of cigarette tax stamps and for the collection of cigarette taxes from 3.8 percent to 3 percent of total aggregate cigarette tax collected (Secs. 1-2). -Levies an additional tax on the first sale of tobacco products other than cigarettes to wholesalers or retailers within the state at 36 percent of manufacturer's selling price (Sec. 5). -Requires that tax on cigarettes sold in cities close to state lines should match that of the adjoining state when it is less than the tax imposed by Arkansas law (Sec. 4). -Prohibits the sale or possession of cigarettes without the payment of applicable taxes, and specifies that the Director of Arkansas Tobacco Control Board can revoke permits or licenses of violators (Sec. 4). -Allocates funds derived from the additional cigarette taxes levied in this bill to the General Revenue Fund Account of the State Apportionment Fund (Sec. 4).

Full Bill Text

Vote Smart's Synopsis:

Vote to pass a bill that increases taxes on tobacco products.

Highlights:

-Levies an additional tax of $28.00 per 1,000 cigarettes sold in Arkansas (Sec. 4). -Lowers the minimum commissions for the sales and collection of cigarette tax stamps and for the collection of cigarette taxes from 3.8 percent to 3 percent of total aggregate cigarette tax collected (Secs. 1-2). -Levies an additional tax on the first sale of tobacco products other than cigarettes to wholesalers or retailers within the state at 36 percent of manufacturer's selling price (Sec. 5). -Requires that tax on cigarettes sold in cities close to state lines should match that of the adjoining state when it is less than the tax imposed by Arkansas law (Sec. 4). -Prohibits the sale or possession of cigarettes without the payment of applicable taxes, and specifies that the Director of Arkansas Tobacco Control Board can revoke permits or licenses of violators (Sec. 4). -Allocates funds derived from the additional cigarette taxes levied in this bill to the General Revenue Fund Account of the State Apportionment Fund (Sec. 4).

Full Bill Text