Rutgers Law

New Jersey Statutes, Title: 54, TAXATION

    Chapter 40b:

      Section: 54:40b-3: Tax of 30 percent imposed on certain tobacco products; exceptions.

          3. a. There is imposed a tax of 30\% upon the wholesale price upon the sale, use, or distribution of a tobacco product within this State, except that if the product is:

(1) moist snuff, the tax shall be imposed as provided in section 3 of P.L.2006, c.37 (C.54:40B-3.1); or

(2) liquid nicotine, the tax shall be imposed as provided in section 5 of P.L.2018, c.50 (C.54:40B-3.2).

b. Unless a tobacco product has already been or will be subject to the wholesale sales tax imposed in subsection a. of this section, if a distributor or wholesaler uses a tobacco product within this State, there is imposed upon the distributor or wholesaler a compensating use tax of 30\% measured by the sales price of a similar tobacco product to a distributor, except that if the product is moist snuff or liquid nicotine, the tax shall be imposed as provided in section 3 of P.L.2006, c.37 (C.54:40B-3.1) or section 5 of P.L.2018, c.50 (C.54:40B-3.2), respectively.

c. Unless a wholesale use tax is due pursuant to subsection b. of this section, if a distributor or wholesaler has not paid the wholesale sales tax imposed in subsection a. of this section upon a sale that is subject to the wholesale sales tax imposed in that subsection a., there is imposed upon the retail dealer or consumer chargeable for the sale a compensating use tax of 30\% of the price paid or charged for the tobacco product, except that if the product is moist snuff or liquid nicotine, the tax shall be imposed as provided in section 3 of P.L.2006, c.37 (C.54:40B-3.1) or section 5 of P.L.2018, c.50 (C.54:40B-3.2), respectively, which shall be collected in the manner provided in subsection b. of section 5 of P.L.1990, c.39 (C.54:40B-5).

L.1990, c.39, s.3; amended 1997, c.264, s.3; 2001, c.448, s.2; 2006, c.37, s.5; 2018, c.50, s.4.

This section added to the Rutgers Database: 2018-08-17 13:51:09.

Older versions of 54:40b-3 (if available):

Court decisions that cite this statute: CLICK HERE.