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S6325Senate2017-2018 SessionSame asA8359

Increase Tobacco Sale Penalties

Official title

“Relates to penalties for violations relating to the sale of cigarettes and tobacco products”

Sponsor Martin J. GoldenSD-22Affects Economy
Status
In Assembly Committee
Economic Development
Impact
6/10
Moderate
Passage
0%

Bill progress

Step 5 of 7

In Assembly · Economic Development

What's happening

This bill increases penalties and license revocation periods for repeated violations related to the sale of cigarettes, tobacco, and alcohol.

Why it matters

  1. Significantly increases consequences for repeat offenders. by raising the license revocation period from one to three years and lowering the threshold for triggering these penalties (from a fourth to a second violation), which could strongly deter businesses from violating tobacco and alcohol sales laws.

  2. Expands the window for counting prior violations. from three years to five years, making it more likely for businesses with a history of infractions to face severe penalties, thus encouraging long-term compliance rather than short-term adjustments.

  3. Ensures cross-enforcement between agencies. , requiring that a business losing its retail tobacco license will also automatically lose its alcohol license, which raises the stakes for compliance and can have a larger economic impact on offending businesses.

  4. Targets both small retailers and larger establishments. by mandating harsh penalties for second offenses, signaling a shift toward stricter oversight and possibly affecting the availability and operation of convenience stores, bars, and other outlets that sell both tobacco and alcohol.

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Who cares

Headline styles

Increase Tobacco Sale Penalties

Plain English, a few words. Used as the page title.

Sponsors

Primary sponsor
Martin J. Golden

Senator · Senate District 22

Chair, Civil Service And Pensions

No co-sponsors yet.

History

  1. Referred to economic development
  2. Delivered to assembly
  3. Passed senateVote 55–5
  4. Ordered to third reading cal.2047
  5. Committee discharged and committed to rules
  6. Reported and committed to finance
  7. Referred to investigations and government operations
  8. Returned to senate
  9. Died in assembly
  10. Referred to economic development
  11. Delivered to assembly
  12. Passed senateVote 60–3
Show 3 earlier actions
  1. Ordered to third reading cal.2069
  2. Committee discharged and committed to rules
  3. Referred to investigations and government operations

Companion bill

The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.

A8359Assembly

Tougher Tobacco Sale Penalties

In Assembly Committee · Economic Development · Sponsor Steven Cymbrowitz

Impact 5 · Moderate0% to pass

Full text

1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗

STATE OF NEW YORK

6325

2017-2018 Regular Sessions

IN SENATE

May 11, 2017

Introduced by Sen. GOLDEN -- read twice and ordered printed, and when printed to be committed to the Committee on Investigations and Government Operations

AN ACT to amend the tax law and the alcoholic beverage control law, in relation to penalties for violations relating to the sale of cigarettes and tobacco products

The People of the State of New York, represented in Senate and Assembly, do enact as follows:

Section 1. Paragraph 2 of subdivision h of section 1607 of the tax law, as amended by chapter 162 of the laws of 2002, is amended and a new paragraph 3 is added to read as follows:

2. A license shall be revoked for [one year] three years upon notification to the division by the commissioner of health of a lottery sales agent's [fourth] second violation of article thirteen-F of the public health law, or a second violation of section eighteen hundred fourteen of this chapter, within a [three] five year period.

3. The division must revoke a license for a minimum of three years for a second suspension or any revocation of a retail license pursuant to section four hundred eighty-a of this chapter.

§ 2. Section 119 of the alcoholic beverage control law is amended by adding a new subdivision 6 to read as follows:

6. The liquor authority must revoke a retail license or permit for sale at a premises licensed upon notification to the liquor authority by the commissioner of taxation and finance of a revocation of a license to sell cigarettes or tobacco products pursuant to section four hundred eighty-a of the tax law.

§ 3. This act shall take effect immediately.

EXPLANATION--Matter in italics (underscored) is new; matter in brackets

[ ] is old law to be omitted.

LBD11745-01-7

Reflowed for reading: line numbers and page breaks removed. Cite the official text.

Sponsor's memo

Title of bill

An act to amend the tax law and the alcoholic beverage control law, in relation to penalties for violations relating to the sale of cigarettes and tobacco products

Purpose or general idea of bill

To revoke a retail establishments ability to sell lottery tickets and scratch-off games, and lose their beer and wine products licenses if they are convicted more than once of selling untaxed or otherwise illegal cigarettes or other tobacco products.

Summary of specific provisions

Section 1 of the bill amends Section 1607 of the Tax Law to increase the revocation period to three years upon the second violation of article 13-F of the Public Health Law (illegally selling cigarettes to individuals not permitted to purchase or smoke) or for selling untaxed or otherwise illegal cigarettes.

Section 2 requires the liquor authority to revoke a beer and wine products license for any retailer who has had their cigarette license also revoked.

Section 3 of the bill provides for an immediate effective date

Justification

It is crucial that we put an end to the ability of retail outlets to face minimal consequences for selling cigarettes or tobacco products that are not properly taxed by the State and City of New York. These illegal practices, which account for over sixty percent of the cigarettes sold in the State, fund terrorists, organized crime and gang activities, force other New York taxpayers to make up billions in revenues, and contradict our efforts to reduce smoking, especially with our youth. This illegality is the antithesis to the intent of solution-based law that have sought to the health of all New Yorkers.

Moreover, eighty percent of the revenues generated from cigarette and tobacco product taxes fund health programs. These lost revenues exacerbate the health problems that cigarettes already contribute to, and make it much more difficult to fund our essential programs for the poor, the average workers and their families, and seniors.

To reiterate, the law, as currently written, does not go far enough to hold those accountable for circumventing the collection of taxes on cigarettes, and, as a result, the consequences associated with treating health-related cigarette issues are exacerbated, revenues decline, and subsequently all New Yorkers become worse off.

This bill requires retailers who egregiously violate our cigarette laws also lose the ability to sell beer, coolers and lottery games. The fear of the loss of these profit centers should go a long way to curbing the illegal trafficking of cigarettes in New York

Prior legislative history

New bill.

Fiscal implications

Estimated to increase state and city tax collections by hundreds of millions of dollars annually.

Effective date

This act shall take effect immediately.

Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.