N.Y. Tax Law § 471-b: Imposition of tobacco products tax

§ 471-b. Imposition of tobacco products tax. 1. There is hereby

imposed and shall be paid a tax on all tobacco products possessed in

this state by any person for sale, except that no tax shall be imposed

on tobacco products sold under such circumstances that this state is

without power to impose such tax, or sold to the United States, or sold

to or by a voluntary unincorporated organization of the armed forces of

the United States operating a place for the sale of goods pursuant to

regulations promulgated by the appropriate executive agency of the

United States, to the extent provided in such regulations and policy

statements of such an agency applicable to such sales.

(a) Such tax on tobacco products other than snuff and little cigars

shall be at the rate of seventy-five percent of the wholesale price, and

is intended to be imposed only once upon the sale of any tobacco

products other than snuff and little cigars.

(b) Such tax on snuff shall be at the rate of two dollars per ounce

and a proportionate rate on any fractional parts of an ounce, provided

that cans or packages of snuff with a net weight of less than one ounce

shall be taxed at the equivalent rate of cans or packages weighing one

ounce. Such tax shall be computed based on the net weight as listed by

the manufacturer, and is intended to be imposed only once upon the sale

of any snuff.

(c) The tax on each little cigar shall be at the rate of twenty-six

and three-quarters cents and is intended to be imposed only once upon

the sale of any little cigar.

It shall be presumed that all tobacco products within the state are

subject to tax until the contrary is established, and the burden of

proof that any tobacco products are not taxable hereunder shall be upon

the person in possession thereof.

2. The distributor shall be liable for the payment of the tax on

tobacco products which he imports or causes to be imported into the

state, or which he manufactures in the state, and every distributor

authorized by the commissioner of taxation and finance to make returns

and pay the tax on tobacco products sold, shipped or delivered by him to

any person in the state shall be liable for the payment of the tax on

all tobacco products so sold, shipped or delivered.

3. Every dealer shall be liable for the tax on all tobacco products in

his possession at any time, upon which tax has not been paid or assumed

by a distributor appointed by the commissioner of taxation and finance,

and the failure of any dealer to produce and exhibit to the commissioner

of taxation and finance or his authorized representative upon demand, an

invoice by a distributor or licensed wholesale dealer for any tobacco

products in his possession shall be presumptive evidence that the tax

thereon has not been paid, and that such dealer is liable for the tax

thereon unless evidence of such invoice, payment or assumption shall

later be produced.