Regulated Substances
Cigarette Tax Audit/Refund – What to Expect
As cigarettes and other tobacco products are taxed on both the federal and state level, the tax compliance burdens are steep. The tobacco tax scheme is very different from other tax schemes because the product is taxed both at the federal and state level. Further, depending on the type of tobacco product being sold the…
Read MoreJudge Instructs Department of Health to Begin Accepting MMTC Registrations Per Constitutional Amendment
On Wednesday, October 3, 2018, from the bench during a status conference Judge Dodson stated: “Another two months has passed, and I do believe now we’re at the point where Florigrown will suffer irreparable harm absent the entry of a temporary injunction and that, given the public interest that can’t be more clearly stated than…
Read MoreSCOTUS to Hear Yakama Fuel Tax Case
In 2017 the Yakama Nation won an important case further expanding a well-recognized right to travel under their treaty. In a constant impasse of state tax and Native American rights, the Yakama Nation exhibited how difficult it is for states to impose their taxes on Indian tribes. The case can also serve as a…
Read MoreLosing Applicants from 2015 Still Going After MMTC Licenses
In 2014, the Compassionate Medical Cannabis Act passed, creating section 381.986, F.S. Under this law the Department of Health (“DOH”) was required to grant 5 nurseries licenses to dispense medical marijuana, 1 for each region in the state.1 The Department then promulgated rules under which a nursery could apply for a DO license, now referred…
Read MoreFlorida DBPR Ordered to Pay Attorney’s Fees Again
In 2012, the well-known Micjo decision came down from one of Florida’s appellate courts. In Micjo, the court ruled that Florida’s other tobacco products tax (“OTP”) should only apply to the tobacco product itself and not on other charges such as shipping and federal excise tax. Squarely against that ruling Florida’s Department of Business and…
Read MoreThe Current Status of Marijuana on the Federal Side
Although more than 50% of states have legalized marijuana either on the medical or recreational level, on the federal side marijuana still remains illegal. Additionally, marijuana is still a Schedule I drug, which means it is considered to be highly addictive, have no recognized benefits, and remains illegal. On June 27, 2018, Senator Chuck Schumer,…
Read MoreBLUNT WRAPS NOT TAXABLE IN FLORIDA
For several years, I have been heavily involved with wholesale tobacco tax throughout the country. On April 6, 2016, the 1stDCA spoke loud and clear by determining that a blunt wrap or cigar wrap (a “Wrap”) product is not subject to Florida tax. This is a giant step towards putting an end towards at least…
Read MoreMinnesota Court Rules Separately Stated Federal Excise Tax Not Subject to Tax
Across the country, there has been a debate as to whether state tobacco tax applies to federal excise tax. For example, in 2012, a Florida court in Micjo Inc v Florida DBPR, ruled that the wholesale sales price upon which tax is calculated does not include federal excise tax or shipping charges. Since 2012, we…
Read MoreBLUNT WRAPS MAY NOT BE SUBJECT TO STATE TAX IN ILLINOIS
Despite the well-known and proven ideology that the legislature holds the power to declare taxability of particular items, the Colorado Department of Revenue (“CDOR”) and Florida Department of Revenue (“FDOR”) went above and beyond their own reach in attempting to broaden the taxability of tobacco products, specifically blunt wraps. The Florida appellate court, for example,…
Read MoreARE MARIJUNA TAXES GOING UP IN SMOKE?
Over the past few years, several states have begun legalizing marijuana. Normally, the citizens of these states vote on a ballot measure, notably to add the legalization of marijuana as a state constitutional amendment. For instance, Colorado has legalized recreational and medical marijuana. Based on this legalization, Colorado has various sales taxes and excise taxes…
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