Law Says Tobacco Sellers Need License

Source from:  By JAN NORMAN The Orange County Register 07/30/2007

Q. I run a small variety store. I was just notified that I have to pay a fee to sell cigarettes. Is that legal? A. Yes, if your store sells cigarettes. The California and Tobacco Products Licensing Act of 2003 became effective June 30, 2004. It requires every retailer, distributor and wholesaler of all tobacco products to obtain a tobacco license from the state Board of Equalization. The fee is $100 a year for each building or vending machine from which you sell tobacco products (that includes snuff and cigars as well as cigarettes). This tobacco license is in addition to your seller's permit for the Board of Equalization and any local license that may be required of you. If you don't have your license now, you'd better get it immediately. The fine is as much as $5,000 for failure to get a license or keep proper records. Failure to display the license in a prominent place at your business will cost you $500 and might get your license revoked. To apply, fill out an application for the retailer's cigarette and tobacco products license form number BOE-400-LR. You can download it free from the Board of Equalization Web site at www.boe.ca.gov/ sptaxprog/sptaxforms.htm or call (800) 400-7115. If you sell cigarettes to minors or buy bootleg tobacco products, you could lose your tobacco license. In addition to buying the license, for four years you are obligated to keep complete records of your purchase invoices for tobacco products and to allow law enforcement officers and representatives of the Board of Equalization to review those purchase invoices. Enditem