S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                    86
 
                        2023-2024 Regular Sessions
 
                           I N  A S S E M B L Y
 
                                (PREFILED)
 
                              January 4, 2023
                                ___________
 
 Introduced  by  M.  of  A. L. ROSENTHAL -- read once and referred to the
   Committee on Ways and Means
 
 AN ACT to amend the tax law, in relation to increasing the  tax  imposed
   on the sale of tobacco products and the retail sale of vapor products

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subdivision 1 of section 471-b of the tax law,  as  amended
 by  section 2 of part QQ-1 of chapter 57 of the laws of 2008, paragraphs
 (a) and (b) as amended by section 18  and  paragraph  (c)  as  added  by
 section  19  of part D of chapter 134 of the laws of 2010, is amended to
 read as follows:
   1. There is hereby imposed and shall be paid  a  tax  on  all  tobacco
 products  possessed in this state by any person for sale, except that no
 tax shall be imposed on tobacco products sold under  such  circumstances
 that  this  state  is  without  power to impose such tax, or sold to the
 United States, or sold to or by a voluntary unincorporated  organization
 of  the armed forces of the United States operating a place for the sale
 of goods pursuant to regulations promulgated by the  appropriate  execu-
 tive  agency  of the United States, to the extent provided in such regu-
 lations and policy statements of  such  an  agency  applicable  to  such
 sales.
   (a)  Such tax on tobacco products other than [snuff and] little cigars
 shall be at the rate of [seventy-five] ONE HUNDRED  TWENTY-NINE  percent
 of the wholesale price, and is intended to be imposed only once upon the
 sale of any tobacco products other than [snuff and] little cigars.
   (b)  [Such  tax on snuff shall be at the rate of two dollars per ounce
 and a proportionate rate on any fractional parts of an  ounce,  provided
 that  cans or packages of snuff with a net weight of less than one ounce
 shall be taxed at the equivalent rate of cans or packages  weighing  one
 ounce.  Such  tax shall be computed based on the net weight as listed by

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD00682-01-3
 A. 86                               2

 the manufacturer, and is intended to be imposed only once upon the  sale
 of any snuff.
   (c)]  Such  tax  on little cigars shall be at the same rate imposed on
 cigarettes under this article and is intended to be  imposed  only  once
 upon the sale of any little cigars.
   It  shall  be  presumed that all tobacco products within the state are
 subject to tax until the contrary is  established,  and  the  burden  of
 proof  that any tobacco products are not taxable hereunder shall be upon
 the person in possession thereof.
   § 2. Section 1181 of the tax law, as amended by chapter 92 of the laws
 of 2021, is amended to read as follows:
   § 1181. Imposition of tax. In addition to any  other  tax  imposed  by
 this  chapter  or  other  law, there is hereby imposed a tax of [twenty]
 FORTY-EIGHT percent on receipts from the retail sale of  vapor  products
 sold in this state. The tax is imposed on the purchaser and collected by
 the vapor products dealer as defined in subdivision (b) of section elev-
 en  hundred  eighty  of this article, in trust for and on account of the
 state. The taxes imposed under this section shall not apply to adult-use
 cannabis products subject to tax under article twenty-C of this chapter.
   § 3. This act shall take effect immediately.