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NY Senate passes Indian reservation tobacco tax |
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Main NEWS Section -
Mainstream Politics
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By Valerie Bauman
Albany, New York (AP) 8-08
New Yorkers won’t be able to avoid the highest cigarette taxes in the nation by shopping at Indian reservations if Gov. David Paterson signs a bill given final approval by the state Senate during August.
The measure requiring a cigarette tax on reservation sales had already passed the Assembly. A spokeswoman in the governor’s office said they haven’t reviewed the bill yet.
The bill passed during a one-day special session of the Senate. The New York Department of Budget expects an additional $70 million in state revenue if the bill becomes law. Sen. Michael Nozzolio of Seneca Falls, who sponsored the legislation, estimated a $400 million spike in tax revenues.
The American Cancer Society said the new tax could get about 100,000 people to quit smoking.
The measure would require tobacco wholesalers to certify – under penalty of perjury – that they won’t supply cigarettes to retailers unless the packs have a legal New York state tax stamp. Wholesalers wouldn’t be able to buy from manufacturers unless they provide tax certification.
American Cancer Society spokesman Peter Slocum urged Paterson to sign the bill and enforce it.
The Seneca Nation has opposed the legislation, which nation president Maurice John Sr. said would “adversely impact the western New York economy by damaging a $200 million Seneca retailing sector, while violating treaties between the United States and the Nation, is certainly veto worthy.”
“The state Legislature should not try to help close its budget gap by denying the right of purchase to the Seneca Nation and its licensed retailers or by jeopardizing the jobs and livelihoods of more than 1,000 Seneca and non-Seneca families involved in our retail economy,” John said.
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