Tobacco Industry Taxation

While federal and state governments generate billions of dollars from tobacco product taxation, both consumers and the industry are paying the price. States are able to assess their own taxes on cigarettes and other tobacco products that are independent of any federal regulation. Our tobacco attorneys have expertise and valuable relationships with government regulators to serve as advocates to our clients in this area.

With the growing momentum of federal regulation of e-cigarettes and vapor products, many states are contemplating expanding their taxation legislation to include e-cigarettes. Our tobacco attorneys have expertise and valuable relationships with government regulators to serve as advocates to our clients regarding:

  • Obtaining U.S. Treasury Department Tobacco Tax and Trade Bureau (“TTB”) permits, including
    • Manufacturer of tobacco products
    • Manufacturer of processed tobacco
    • Manufacturer of tubes
    • Importer of tobacco products
    • Exporter of tobacco products
  • Successfully resolving excise tax disputes with state revenue departments
  • Obtaining permits with state revenue departments
  • Advising clients regarding state taxation requirements
  • Advocating with state and federal policymakers regarding tobacco taxation
  • Assist in obtaining settlements and other payment agreements regarding delinquent tax payments on a federal and state level
  • Advising on tobacco producer permits from the Alcohol, Tobacco, Tax & Trade Bureau and federal excise tax obligations

  • Represented a tobacco machinery company in a case of first impression regarding a ruling issued by the Tobacco Tax and Trade Bureau of the U.S. Treasury Department. Obtained a preliminary injunction against TTB's ruling. RYO Machine Rental LLC v. United States Dep't of Treasury, Case No. 4:10-CV-2462, 2010 U.S. Dist. LEXIS 132026 (N.D. Ohio. Dec. 14, 2010).
  • Represented tobacco distributors and retailers in tax disputes, including the successful defense of distributors in tax disputes with state Departments of Revenue. Advise tobacco manufacturers and distributors regarding federal and state taxation issues.
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