Tobacco Taxes Idaho's excise tax per pack of cigarettes: $0.570 Idaho's excise tax collection for the fiscal year ending June 2002: $23,410,000 Sales tax on tobacco products: 5.00% Federal excise tax per pack of cigarettes: $0.39 Total federal excise tax collections in fiscal year 2002: $7,512,700,000

Who Profits from Cigarette Sales? click for larger view

click for larger view

Number of six-packs of beer that must be sold in Idaho to produce the same state excise tax revenue generated by one carton of cigarettes: 33.2

click for larger view

Number of bottles of wine that must be sold in Idaho to produce the same state excise tax revenue generated by one carton of cigarettes: 31.4

Idaho Smokers' Contributions
to the State Economy - 2002

Smokers Pay Excise Taxes2	$	23,410,260
Smokers Pay Sales Taxes2	$	13,377,291
Smokers Pay Tobacco Settlement Payments3	$	25,965,969
	$	62,753,520

• Income

Idaho smokers' median income 20011

$

28,853

• Idaho State Tax Liability for Median Income Smoker4

Annual state income tax liability for a couple	$	883
Annual state income tax liability for a couple with two children	$	469

• Smoker Excise Tax/Sales Tax/Tobacco Settlement Payments Liability5

Total average paid per Idaho smoker in excise and sales taxes	$	203
Cost per Idaho smoker for settlement payments to Idaho	$	143
Total annual payment to Idaho per smoker	$	346

TOTAL SMOKER CIGARETTE PAYMENTS TO IDAHO Per year: $ 62,753,520 Per day: $ 171,810 Per hour: $ 7,159 Per minute: $ 119 Per second: $ 2

1 Centers for Disease Control's Behavioral Risk Factor Surveillance System, 2001
2 Orzechowski & Walker, Arlington, Virginia; from state revenue department
3 PriceWaterhouseCooper
4 State annual income tax liability from PayBreeze software of General Programming, Inc., San Jose, California, which utilizes the Exact Calculation Method.
5 U.S. Census Bureau, 2000 state population and Centers for Disease Control's Behavioral Risk Surveillance System, 2001
6 Tax and Budget Comparisons are from the Idaho Legislative Services Office, Budget and Policy Analysis, Fiscal Facts: A Legislator's Handbook of Facts, Figures, and Trends, September 2002, online at http://www.jfac.state.id.us/newweb/pdf/FF2002.pdf; and the Joint Senate Finance - House Appropriation Committee, 2002 Idaho Legislative Budget Book for Fiscal Year 2003, online at http://www.jfac.state.id.us/newweb/pdf/LBB2003/Front.pdf.
7Tax Foundation Special Report #108: State Tax Collections and Rates, February 2002; State Revenue Departments; Commerce Clearing House; Federation of Tax Administrators; various state taxpayer organizations and from http://www.tax.state.ny.us/Statistics/Policy-Special/Sourcebook00/Sourcebook00_Table_26.htm.
8 American Economics Group, Inc., The U.S. Tobacco Industry in 1997: Its Economic Impact in the States.

A summary of Idaho state law is provided below
(for specific questions regarding state law, contact your legal advisor.)

Minimum Age	Customers must be 18 years or older to purchase tobacco products. The failure of a seller to request and examine photographic identification from a person under 18 years of age prior to the sale shall be construed against the seller and form a conclusive basis for the seller's violation of this section. Retailers are responsible for educating employees as to the requirements of state youth access laws.
Restricted Products	Cigarettes, cigars, pipes, snuff, smoking tobacco, tobacco papers or smokeless tobacco.
Acceptable Forms of Identification	State, district, territorial, possession, provincial, national or other equivalent government driver's license, identification card, a valid passport or military card, in all cases bearing a photograph and a date of birth.
Fine/Penalty Schedule for Selling to Minors	Employees who violate this provision will be subject to a civil penalty of $100. For a first violation, the permittee shall be notified in writing of penalties to be levied for further violations. For a second violation within a two-year period, the retailer shall be fined $200 and shall be notified in writing of penalties to be levied for further violations. For a third violation within a two-year period, retailer shall be fined $200 and the retailer’s permit may be suspended for up to seven days. If the violation is by an employee, at the same location, who was involved in any previous citation for violation, the permittee shall be fined four hundred dollars ($ 400). All subsequent violations within a two-year period will subject the retailer to a fine of $400 and permit revocation for at least 30-days, until such time that the permittee demonstrates an effective training plan to the department.
Affirmative Defense	Proof that a seller requested, examined and reasonably relied upon photographic identification bearing a date of birth before selling distributing or offering a tobacco product to a minor is an affirmative defense. The retailer shall not be fined if the retailer can show that a training program was in place for the violating employee and has a form signed by that employee on file stating that they understand the tobacco laws dealing with minors and the unlawful purchase of tobacco. If no such training is in place, the permittee shall be fined two hundred dollars ($ 200). The existence of effective training and employment practices is a factor in determining whether the retailer’s permit to sell tobacco will be suspended.
Minor Possession	The actual or attempted purchase, receipt, possession, sale, distribution, use or consumption of tobacco products by minors is prohibited. Minors are prohibited from providing false identification, or making any false statement regarding their age in an attempt to obtain tobacco products. A minor may possess, but not sell or distribute, tobacco products in the course of employment for duties such as stocking shelves or carrying purchases to customers’ vehicles. Violation is a misdemeanor, punishable by imprisonment for up to six months and/or by a fine of up to $300. In addition, the court may require the minor and the minor’s parents or legal guardian to attend tobacco awareness programs or to perform community service in programs related to tobacco awareness.
Sign Requirement	A tobacco retailer may display a sign in each location where tobacco products are sold or distributed. A sign may be clearly visible to the customer and the seller and shall state: STATE LAW PROHIBITS THE SALE OF TOBACCO PRODUCTS TO PERSONS UNDER THE AGE OF EIGHTEEN (18) YEARS. PROOF OF AGE REQUIRED. ANYONE WHO SELLS OR DISTRIBUTES TOBACCO TO A MINOR IS SUBJECT TO STRICT FINES AND PENALTIES. MINORS ARE SUBJECT TO FINES AND PENALTIES. A copy of this signage must be provided with each permit issued by the Department of Health and Welfare.
Compliance Checks	As a condition of receiving federal substance abuse block grant funds, federal law requires the State of Idaho to conduct random, unannounced inspections of tobacco outlets to determine compliance rates. Law enforcement agencies are permitted to enlist minors to assist them in compliance checks, as long as the minor’s parent or legal guardian provides written consent. The State Department of Health and Welfare coordinates the inspections.
Visual Characteristics of a State-Issued License	After January 1, 2001, identification cards issued to persons under 18 years of age shall include a notation "Under 18 until (month, day, year)," and identification cards issued to persons 18 years of age to 21 years of age shall include a notation "Under 21 until (month, day, year)."
DISCLAIMER: This information summary is provided as a service of the Coalition, but is not intended to provide legal advice or analysis. These summaries are not intended to be complete representations of state law, which may contain additional rules and restrictions relating to tobacco products not mentioned in this summary, as well as retailing prohibitions related to matters including, but not limited to, state required training, minimum pack size, the sale of loose cigarettes and other restrictions. Retailers should not rely on these summaries as complete or accurate descriptions of applicable federal, state or local law. Users with questions about the law should seek the advice of counsel. Each state law is unique and possibly represents multiple legislative or regulatory acts. Local laws may differ. Check with local authorities for variations from state law. These summaries are not intended to be complete representations of state law.

The reprinting of this information from the Coalition, does not constitute a representation or admission by RJRT that such information is accurate, complete, or a proper characterization of the laws concerned. The Coalition for Responsible Tobacco Retailing is a cooperative effort among retailers, wholesalers and manufacturers who share a common goal: to do all they can to prevent tobacco sales to minors.

Information

Copyright © by The Smokers Club, Inc. - (1963 reads)