Illinois Senate Bill SB1950

Illinois 2023-2024 Regular Session

• Introduced: 2/9/23
• Refer: 2/9/23
• Refer: 2/21/23
• Refer: 3/10/23

Caption

CIGARETTE TX-LOOSE CIGARETTES

Impact

The implementation of SB1950 is poised to impact state laws by enhancing the regulatory structure surrounding cigarette sales. Specifically, it brings clarity to the repercussions for retailers and their staff if they engage in selling loose cigarettes, which has been a persistent concern for state tax authorities aiming to ensure tax compliance. The redefinition of penalties serves to strengthen the integrity of cigarette sales and protect state revenue by disincentivizing practices that evade tax obligations.

Summary

SB1950, introduced by Senator Robert F. Martwick, amends the Cigarette Tax Act and the Cigarette Use Tax Act by specifically clarifying the penalties associated with the sale of loose cigarettes. The bill establishes that a licensed retailer, as well as their agents and employees, can be charged with a Class 4 felony if they knowingly violate provisions on loose cigarette sales, bringing accountability directly to those handling cigarette sales at the retail level. This change reflects a significant enforcement-oriented shift that seeks to curb illicit sales practices related to loose cigarettes.

Contention

While the bill presents a straightforward approach to enforcing regulations on cigarette sales, it may strike a nerve with retailers who could view this as increasing their liabilities. The classification of these violations as felonies underscores the serious nature of such infractions, which could potentially lead to calls from advocacy groups for more leniency in the penalties associated with non-compliance. This could spark debate in legislative circles around the balance between necessary regulation and the potential for punitive overreach.