Posted on 05/03/2007 4:49:50 PM PDT by jmyrlefuller
New York’s attorney general has closed another loophole that local Indian tobacco merchants have been using to ship tax-free cigarettes over the Internet. Andrew Cuomo says a Long Island firm that had been processing checks and electronic payments for at least 10 Indian tobacco merchants will no longer provide those services to anyone who sells tax-free cigarettes over the Internet. 6 of the 10 merchants affected are in Salamanca.
This agreement is the first of its kind in the country. It furthers the successful efforts of New York and the other states that are part of the tobacco Master Settlement Agreement, a public health agreement which, among other goals, aims to stop the flow of cheap cigarettes to young people. Through the states’ efforts, leading credit card companies have already agreed to cease allowing their cards to be used to facilitate these unlawful sales, and several major shippers have refused to deliver cigarettes purchased online. Cutting down on electronic funds transfers, such as those facilitated by CCFS, will make it more difficult for these retailers to continue selling.
Online tobacco retailers operate illegally in a number of ways, including: failing to file required monthly sales reports with the tax administrator of the states into which they are shipping cigarettes; using interstate wire and mail systems to defraud state governments of excise tax revenues; and shipping over 10,000 cigarettes per month without any state tax excise stamp. These same practices also violate New York State tax laws, which prohibit attempts to “evade or defeat a tax,” and New York State public health laws, which prohibit direct shipment of cigarettes to individual consumers in New York State, as well as similar laws of the states into which they sell.
Pinging SheLion...
GNAT-ZI’s:
“can’t live with smoking, but can’t live without the taxes”
I guess now the only payment accepted will be money orders?
Anyone else notice prices going up with these Indian reservations ? It sucks.
Be funny if the indians start an electronic funds-clearing operation on their own territory and open it up to all comers. Offshore banking services right at home!
Don't worry, the Senecas are pretty creative. I suspect they'll just open their own banking services on the reservation as a front.
I'm not exactly one of their biggest fans (their leader owes $9M in federal taxes because he insists no one can tax him, among other transgressions), but this is one issue where I agree with them (sort of). The purchases of a private individual are of no business to the State of New York (not even if it's national security-- that's the federal government's job) and to attempt to regulate this violates the federal government's supremacy over interstate commerce as well as possibly the "right to privacy."
Of course, it's for the chiiiiillllldrun.
Yep, Moe John owes probably closer to 10M now, its a debt from over 15 years ago. He’s spent time in jail, he lost his business, and his family went through a lot of turmoil for his mistake. He’s usually the first one to say it when somebody brings it up. He now councils business owners and youngsters to always deal straight with the Federal Gov. when it comes to taxes. I’m familiar with his situation because we have some mutual family friends.
I seriously hope that Spitzer doesn’t start crap with them this summer. I have to drive through there regularly and I don’t need the hassle of roads blocked with burning tires and such. I hear that they are discussing putting up their own toll booths on all of the State routes going through Irving, including the Thruway, infact, some are floating the idea of putting up their own rest area/gas station on the T-Way, which might actually be funny when you think a bout it.
I miss the part where it’s a conservative value to be a tax cheat?
When I go home to visit family in the Southern Tier of NY I pass right through Salamanca. Its my last stop before the home stretch and I always stop there and get cheap gas. Over the past couple of years what used to be some pristine reservation land now stands a large casino, with an even larger parking garage. Go up around Buffalo/Niagara Falls too, Indian casinos as far as the eye can see....
btt
Thanks, bfl
Excuse me, but FORK the kids! I live in an ADULT world! For the kids be damned! I'm sick of it!
Kids should still be seen and NOT HEARD, like when "I" grew up! heh!
Tax CHEAT? Hey! It's the American way to shop cheap, and if the state lawmakers impose an outrageous tax on a legal product, of course we are all going to shop around for "cheaper." What's wrong with that?
Thanks for the ping!
Tax avoidance and tax evasion are two different things.
But you knew that, Weeny, or did you miss that day at How To Impersonate A Conservative classes?
But of course it’s perfectly fine for all the illegals in NY to send “remittances” back to whatever hell-hole they’ve fled from.
“I miss the part where it’s a conservative value to be a tax cheat?”
What would you call the people who threw all that tea in the harbor, back in the day?
I’m conservative. I understand what taxes are for, and I have nothing against the idea, however, I am highly insulted and angry at the level of over-taxation without representation occuring by our current government and elected and non-elected officials. I am outraged that they take almost 50% of my income, and I feel that I have no voice, and no representation for it, and ANY attempt to add a further tax burden, be ot for tobacco, luxury goods, “sin” taxes, property taxes, what have to, is an insult and an outrage. We won’t even discuss for the moment how much of that money is wasted.
I don’t support tax cheats, but I support fighting the incessant and insane taxation we are imposed with. Our Founding Fathers did not fight and die to win this country for us, for us to lie down and meekly accept what the Feds decide. The methods people were using to buy the cigarettes from the Indian reservations was legal, until now, as I understand it. Do not label these people “tax cheats”.
I don’t live in New York, because my family does, and I know what the tax burden there is, and it’s outrageous. To accuse people of being tax cheats because they’re trying to legally avoid the ponderous NY State taxes is....yoiu should be ashamed to call yourself a conservative.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.