SB540 Summary

• Amends the Arkansas Tobacco Products Tax Act of 1977 to clarify that excise taxes apply to all tobacco products offered for sale in the state, not just cigarettes.

• Redefines "manufacturer" to include persons that produce or offer tobacco products for sale, including importers and distributors dealing in tobacco products.

• Adds new definition of "invoice price" as the price wholesalers or retailers pay to manufacturers, importers, or distributors for tobacco products subsequently sold in the state.

• Replaces references to "manufacturer's selling price" with "invoice price" throughout multiple tax code sections (§§ 26-57-208, 26-57-803, 26-57-805, 26-57-807, and 26-57-1102) to standardize tax calculation methods.

• Declares an emergency clause making the act effective immediately upon Governor approval to ensure efficient administration and collection of tobacco product excise tax revenues.