Entries from August 2008 ↓

Representatives of the Seneca Nation on August 14th urged the administration of New York Gov. David Paterson to veto a bill that would require tax collections on cigarettes currently sold tax-free by tribal retailers.  On August 8th, the New York Senate passed a bill aimed at ending tax-free cigarette sales on Indian reservations as a way to collect hundreds of millions of dollars in cigarette taxes that currently remain uncollected every year. The bill would ban manufacturers from selling tobacco products without a State tax stamp to any wholesaler that does not certify that the cigarettes will not be resold tax-free. Untaxed cigarettes can still be sold by tribal stores to Native Americans. Seneca leaders claim that the tax collections would harm the western New York economy. Gov. Paterson’s aides declined to say what he might do with the bill. Meanwhile, new legislation introduced on August 13th would make wholesalers pay cigarette excise taxes and allow Indian tribes to seek refunds for the taxes paid on any cigarettes that were sold to other Indians (AP 8/15). 

So what do you think? Should the State of NY collect the taxes or should the Seneca Nation continue to maintain their soveriegnty? Or is this just a by product of taxing tobacco? Let folks know what you think about this issue!