Harrisburg – Senator Bob Mensch (R-24) has introduced Senate Bill 691 to adjust the retailer presumptive minimum cost of cigarettes which is based off of a formula established more than 60 years ago. This bill would adjust the percentage from 6% to 7% for retailers.
The legislation does not affect cigars, snuff, chew or other tobacco products.
The bill will require records of each contract of sale, but they may be electronic or internet evidence. They must be kept at licensed premises or at corporate headquarters. Failure to pay in full in fourteen days or less subjects the buying dealer to violation of the act. The legislation is not a tax.
“This legislation benefits thousands of retail licensees who will see their cash flow enhanced,” said Mensch. “The Department of Revenue will have a clearer paper trail in the event of an audit and sales tax collections will be enhanced. This will further assist in collection of the Philadelphia school tax.”
This legislation is supported by the Pennsylvania Food Merchants and the Pennsylvania Distributors Association.
Sarah Stroman email@example.com