SENATE BILL REPORT

SB 5243

BYSenators McDermott and Gaspard; by request of Department of Revenue

Expanding enforcement provisions on cigarette taxes.

Senate Committee on Ways & Means

Senate Hearing Date(s):January 28, 1987

Majority Report:  Do pass.

      Signed by Senators McDermott, Chairman; Gaspard, Vice Chairman; Bauer, Bluechel, Cantu, Deccio, Kreidler, Lee, McDonald, Owen, Rasmussen, Rinehart, Saling, Wojahn.

Senate Staff:William Bafus (786-7437)

                  January 30, 1987

AS REPORTED BY COMMITTEE ON WAYS & MEANS, JANUARY 28, 1987

BACKGROUND:

The Department of Revenue is responsible for investigation and enforcement of cigarette tax violations and for seizure and sale of contraband cigarettes.  The Department has encountered problems of enforceability.

SUMMARY:

Criminal penalties based upon the volume of seized contraband cigarettes are imposed.  State statutes are updated to conform with current guidelines on search and seizure, to provide consistency and uniformity with federal tax laws on bootlegging of cigarettes, and to provide for forfeiture of vehicles and other personal property used to transport or conceal contraband goods.

Revenue:    yes

Fiscal Note:      available

Senate Committee - Testified: Barney McClure, Department of Revenue; Roger Dodd, Department of Revenue