SB334 Summary

• Defines "importer" of tobacco products and makes importers jointly and severally liable with manufacturers for escrow deposit obligations required under Alabama's tobacco settlement law.

• Expands "units sold" definition to include cigarettes sold without state excise tax payment, including those sold on Native American reservations, via mail/internet/phone to out-of-state consumers, and certain tax-exempt transactions.

• Requires both non-participating manufacturers and importers to appoint agents for service of process and hold valid federal permits under 26 U.S.C. § 5713.

• Establishes bond requirements for non-participating manufacturers (minimum $25,000 or greatest quarterly escrow amount owed in preceding 12 months) posted at least 10 days before each calendar quarter.

• Provides for seizure and forfeiture of all cigarettes imported by an importer that fails to deposit required escrow funds within 15 days of written demand from the Revenue Commissioner or Attorney General.