(SB 43)
Tobacco retailers registered.
Section
1.
That
§
10-50-9
be amended to read as follows:
10-50-9.
Each person, except a retailer, engaging in the business of selling cigarettes or tobacco
products in this state, including any distributor or wholesaler, shall secure a license therefore from
the secretary of revenue and regulation. A separate application and license is required for each
wholesale outlet
when
if
a person owns or controls more than one place of business dealing in
cigarettes or tobacco products.
Each person selling cigarettes or tobacco products at retail shall
register with the Department of Revenue and Regulation. A separate registration is required for
each retail outlet operated within the state. No fee may be charged for this registration.
Section
2.
That
§
10-50-13
be amended to read as follows:
10-50-13.
Any license granted under this chapter may be transferred to a new location or to
another person.
Where
If
the transfer is to another person, the licensee
must
shall
show in writing,
under oath, that
he
the licensee
has made a bulk sale of the business operated under
such
the
license
, and the
. The
transferee
must
shall
make an application exactly as if an original applicant,
setting forth therein that
he
the transferee
is the bulk sale purchaser of the business operated under
such
the
license and requesting that
such
the
license be transferred to him
or her
. If the transfer is
to a new location, the licensee
must
shall
make application showing all the relevant facts as to
such
the
new location
, which
. The
application shall take the same course and be acted upon as if an
original application.
In case of any transfer of any license affected by this chapter, a fee of two
dollars and fifty cents shall be required to continue the unexpired portion of such license.
Section
3.
That
§
10-50-15
be amended to read as follows:
10-50-15.
The secretary of revenue and regulation may revoke the license of any distributor
or wholesaler
or the registration of a dealer
for failure to comply with any of the provisions of this
chapter. Any person aggrieved by
such
the
revocation may apply to the secretary for a hearing as
provided in § 10-50-46 and may further appeal to the court as provided in § 10-50-49.
10-50-32.
No person, other than a
person licensed pursuant to § 10-50-9
licensed distributor
,
may sell, offer for sale, display for sale, or possess with intent to sell, advertise for sale, ship or
cause to be shipped, or possess with intent to deliver to another person, any cigarettes which do
not bear stamps or an imprint impressed by a suitable metering machine approved by the secretary
as provided by this chapter, evidencing the payment of the tax imposed by this chapter.
Section
5.
That
§
10-50-41
be amended to read as follows:
10-50-41.
The secretary of revenue and regulation may examine the books, papers, and records
of any distributor, wholesaler, or dealer in this state, for the purpose of determining whether the
tax imposed by this chapter has been fully paid, and may investigate and examine the stock of
cigarettes or tobacco products in or upon any premises where
such
the
cigarettes or tobacco
products are possessed, stored, or sold, for the purpose of determining whether the provisions of
this chapter are being obeyed. The secretary may make
such
the
inspections and examinations at
any time during ordinary business hours, and may inspect at
such
the
times the premises and all
desks, safes, vaults, and other fixtures and furniture contained in or upon
such
the
premises for the
purpose of ascertaining whether cigarettes or tobacco products are held or possessed in violation
of this chapter.
Each dealer shall keep documents establishing that the cigarettes and tobacco
products in the dealer's inventory were purchased from a distributor or wholesaler licensed by the
State of South Dakota. The documents shall be kept for at least three months. If the documents are
not stored at the dealer's registered location, the documents shall be made available in physical or
electronic form to the secretary within five business days of the receipt of the request from the
secretary.
Section
6.
That
§
10-50-62
be amended to read as follows:
10-50-62.
Tobacco products may be sold by licensed distributors and licensed wholesalers only
to dealers.
Dealers who buy or receive tobacco products from persons other than licensed
distributors or licensed wholesalers must pay the tax imposed in § 10-50-61. However, the dealer
may elect to report and remit the tax on the cost price of the tobacco products to the dealer rather
than on the wholesale purchase price.
Tobacco dealers may purchase tobacco products only from
wholesalers and distributors licensed by the State of South Dakota.
A violation of this section is
a Class 2 misdemeanor.
Section
7.
That
§
10-50-93
be amended to read as follows:
10-50-93.
No person may make a delivery sale of cigarettes to any
individual
person
who is
under the legal minimum purchase age in the state.
stamping requirement, and escrow payment obligation as provided in chapter 10-50B
;
and
10-50-16.
Any person who sells any cigarettes or tobacco products after such person's license
or registration
has been revoked commits a petty offense, and all cigarettes or tobacco products in
such person's possession shall be seized and forfeited to the state pursuant to chapter 23A-37.