SF1192 Summary

• Creates new section 297F.186 requiring licensing authorities to revoke retail cigarette and tobacco licenses when the Commissioner notifies them that the license holder possessed contraband cigarettes or tobacco products.

• Establishes a "license clearance" process allowing revoked applicants to reapply after signing compliance agreements, depositing security equal to 10 times the tax on contraband products, and meeting other conditions; Commissioner may refuse clearance if applicant had two licenses revoked within five years.

• Increases license fees for cigarette and tobacco product distributors and subjobbers effective for license periods beginning after December 31, 2015 (distributor cigarette license from $300 to $500; distributor tobacco products license from $75 to $500; subjobber fees from $24/$20 to $100).

• Establishes criminal penalties for willful failure to file returns or pay taxes as felonies; permits aggregation of violations within six-month periods and consolidated venue for prosecutions in multiple counties.

• Appropriates $1,421,000 in FY 2016 and $1,036,000 annually in FY 2017-2019 to the Commissioner of Revenue for implementation and enforcement.