Notice Number:15-01
Tax Type:Cigarette and Tobacco Products
Brief Description:Cigarette Tax Increase and Inventory Requirements
Effective Date:06/16/2015
Approval Date:06/16/2015


Notice of Cigarette Tax Increase and Inventory Requirements

To comply with recent legislative changes, your company is required to take inventory of the cigarette stamps not attached to cigarette packs (Wholesalers Only) and stamped packs (Wholesalers, Retailers, and Vending Machine Operators) on hand at 12:01 a.m., July 1, 2015. On and after July 1, 2015 the tax rate will be $1.29 on each pack of 20 cigarettes or fractional part thereof or $1.61 on each pack of 25 cigarettes.

Your Company is required to pay an additional tax of $0.50 on each 20-cigarette pack or $0.62 on each 25-cigarette pack in stock as of 12:01 a.m. Payment of the additional tax on your inventory must be submitted in full no later than October 31, 2015. Penalty and Interest will be assessed if the payment is not received in a timely manner.

Enclosed are the Tax Rate Change Inventory Report (CG-117) and a Cigarette Inventory Tax Voucher (CG3). Complete Form CG-117 and return it by July 31, 2015. Please keep a copy of the Tax Rate Change Inventory Report for your records.

Effective July 1, 2015, the wholesale discount percentage rate will change from 0.80% to 0.55%.

Wholesalers: You may need to update your Tax Credit Bond. You may only order against 85% of the bond.

Please be advised that violations of these statutory provisions may result in license suspension or revocation and/or fines. Thank you for your cooperation in this matter.
Taxpayer Assistance

Additional copies of this notice, forms or publications are available from our web site, If you have questions, please contact:
Customer Relations/Miscellaneous Tax
Kansas Department of Revenue
915 SW Harrison St.
Topeka, KS 66612-1588
Phone: 785-368-8222
Hearing impaired TTY: 785-296-6461
Fax: 785-291-3968

Date Composed: 06/17/2015 Date Modified: 06/17/2015