Under state law, Indian reservations are allowed to buy cigarettes untaxed for their own use, but anyone buying from them must pay $4.35 in state tax and another $1.50 if they're in the city. The two transactions caught on camera yielded 60 untaxed cartons, which cost the state $3,500. The investigator was offered cartons of Newports at $52 each In the city, the same carton can go for $120. So, when Indian chiefs denounce the state's plan to collect taxes on their cigarettes as a n act of war, one Indian nation takes the Governor to federal court to block tax collection, and the Governor predicts a violent "uprising" when the times comes to collect, what would you predict would happen on Indian reservations when nobody is looking? Is it that they would continue to sell untaxed cigarettes? Surely, you jest.Īn undercover investigation into Long Island's Poospatuck reservation showed vendors selling dozens of cartons of cigarettes to an investigator claiming to be a man from Brooklyn looking to resell them.
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