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| Senate Approves Internet Sales Ban |
| Source from:Tobacco Reporter 03/16/2010 |
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The U.S. Senate on Thursday unanimously approved legislation to curtail the sales of tax-evading, low-cost cigarettes and other tobacco products over the Internet and through the mail.
Health groups allege Internet sales of tobacco products make it easier and cheaper for children to buy cigarettes, facilitate tax evasion and cost governments billions in revenue.
The legislation will require Internet sellers to pay all federal, state, local or tribal tobacco taxes and affix tax stamps before delivery to any customer; mandate that the age and identification of purchasers be checked at purchase and at delivery; require Internet vendors to comply with state and local laws as if they were located in the same state as their customers; and ban the delivery of tobacco products through the U.S. mail, among other things.
The bill's passage represents a defeat for the Seneca Nation Indian tribe in New York, which dominates the mail order cigarette business. The Senecas asserted that the bill would cost more than 1,000 jobs. Enditem
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