HomeMy WebLinkAbout064 - 10/27/1966 - PERTAINING TO A CIGARETTE TAX, THE CIGARETTE TAX STAMP AND IMPRINT USED IN CONNECTION THEREWITH CIGA ORDINANCE NO 6k , 19660
BEING AN ORDINANCE PERTAINING TO A CIGARETTE TAX, THE CIGARETTE TAX
STAMP AND IMPRINT USED IN CONNECTION THEREWITH, CIGARETTE LICENSES,
SCHEDULE OF FEES, AMOUNT OF TAX, METHOD OF PAYMENT, STAMP TAX
DISCOUNT, SALE OF TAX STAMPS, IMPRINTING MACHINES, DUTIES OF THE
DIRECTOR OF FINANCE, ENFORCEMENT OF THE STAMP TAX AND SEIZURE AND
SALE OF UNTAXED CIGARETTES,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS, COLORADO
Article I - In General
Section 1. Definitions The following words and phrases shall, for the purposes
of this ordinance, have the meanings respectively ascribed to them in this section
a. Cigarette. A "cigarette" is any roll for smoking made wholly or
partially of tobacco and wrapped or covered with paper or any other material, except
tobacco. A cigarette may be any size or shape, and the tobacco therein may be
adulterated or mixed with any other ingredient.
b. Cigarette vending machine lessor A "cigarette vending machine
lessor" is any person owning, possessing or having control over cigarette vending
machines and permitting the operation of such machines on premises other than the
place of business of such person.
C. Package and carton. A "package" is the smallest individual box or
container in which cigarettes are normally sold at retail Normally ten such
packages are contained in a "carton" container
d. Retail dealer A "retail dealer" is any person, other than a
wholesale dealer, engaged in the business of selling cigarettes.
e Sale. Any transfer of title or possession or both, exchange or
barter, conditional or otherwise, in any manner or by any means whatsoever, for a
consideration or any agreement therefor
f. Special stamping privilege dealer. A "special stamping privilege
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dealer" is any person licensed as a retail dealer, who receives cigaretteg from
sources other than a licensed wholesale dealer.
g Wholesale dealer. A "wholesale dealer" is any person who sells
cigarettes to retail dealers or other persons for purposes of resale only.
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Article II - Licenses
Section 2 License to engage in business of selling required
On and after January 1, 19679 it shall be unlawful for any person to carry
on or engage in the business of selling cigarettes in the City of Fort Collins
without having a license to do so
A separate license is required for each place of business, and each such
license shall denominate the dealer s business activity, that is, wholesale dealer,
retail dealer, or special stamping privilege dealer
Section 3 Application
Each application for a license required by this article shall include the
dealer's business activity, that is, wholesale dealer, retail dealer, special
stamping privilege dealer or cigarette vending machine lessor, and each such
application shall state the number of vending machines installed or to be installed
on the premises
Section 4 Vending machine lessor s license required
It shall be unlawful to engage in the business of cigarette vending machine
lessor without a license
Section 5 Schedule of fees
Wholesale dealer license The license fee for every wholesale dealer shall
be five dollars per annum
Retail dealer license The license fee for every retail dealer shall be five
dollars per annum
Special stamping privilege license Every retail dealer or cigarette vending
machine lessor who receives cigarettes from sources other than from or through a
licensed wholesale dealer and the cigarette tax not having been paid, shall pay an
additional license fee of five dollars per annum, the payment of which additional
fee shall entitled the retail dealer or lessor to the privilege of purchasing the
cigarette tax stamps as required by Section 7 of this code and affixing or imprinting
the same as provided in this ordinance
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Cigarette vending machine lessor s license The license fee for every
cigarette vending machine lessor shall be five dollars per annum, and an
additional fee of five dollars per annum for each cigarette vending machine
placed in use and operation by the lessor
Period covered by fee All license fees shall be for the calendar year,
or fraction thereof, and shall expire at midnight of the last day of such year
Section 6 Place of business; transfer of license
Every license issued hereunder shall designate the place of business at
which the holder thereof may sell cigarettes, provided, however, if a licensed
dealer shall change his place of business he may obtain a new license upon
paying a transfer fee of one dollar In case a licensed dealer shall sell his
business, his license may be transferred to the purchaser upon payment of a
transfer fee of one dollar and upon the execution by the purchaser of an appli-
cation therefor in substantially the same form as in an original application for
a license hereunder
Article III - Imposition and Regulation of Tax
Section 7 Amount of tax, how payment evidenced
The cigarette tax shall be an amount equal to thmecents for each package
of cigarettes sold, offered or displayed for sale within the City of Fort Collins
and shall be evidenced by a cigarette tax stamp or cigarette tax stamp imprint,
provided, however, that if a package of cigarettes contains more than twenty
cigarettes, the tax shall be increasedthreecents for each additional twenty
cigarettes, or fraction thereof, in the package
Section 8 Authorized purchases of tax stamps
Only those licensed as wholesale dealers under this chapter or as retail
dealers with special stamping privilege license may purchase cigarette tax stamps
from the director of finance
Section 9 Method of payment
The cigarette tax shall be paid by affixing a single cigarette tax stamp
or by imprinting a single cigarette tax stamp imprint from an approved cigarette
tax stamp imprinting machine on each package of cigarettes, such cigarette tax
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stamp or cigarette tax stamp imprint to be an amount sufficient to pay the total
tax
Section 10 Tax Stamp Discount
A discount of ten per cent of the face amount of cigarette tax stamps shall
be allowed by the director of finance to each wholesale dealer, retail dealer or
holder of a special stamping privilege license to compensate such dealers for their
time and expense affixing or imprinting the cigarette tax stamps on the package of
cigarettes
Section 11 Imposition of additional taxes
After the requisite cigarette tax stamps have been affixed or imprinted on
any package of cigarettes by a wholesale dealer or by a retail dealer with a
special stamping privilege license as provided in this code, no further cigarette
tax stamp need be affixed or imprinted thereon, irrespective of the number of times
that such cigarettes are sold It is the intention of this article that only one
cigarette tax evidenced by one cigarette tax stamp or cigarette tax stamp imprint
shall be paid on each package of cigarettes
Section 12 Tax stamp - design
The design of the cigarette tax stamp and the cigarette tax stamp imprint
shall be prescribed by the director of finance
Section 13 Tax stamps - sale
Cigarette tax stamps shall be sold exclusively by the director of finance
Section 14 Tax stamps - imprinting machine
The director of finance is hereby empowered to authorize and approve
automatic cigarette tax stamp imprinting machines, which stamp imprinting machines
shall be set and advanced only by the director of finance, or his authorized
representative, and which machines shall be guaranteed to the director of finance
as to accuracy by their respective manufacturers and users
Section 15 Tax stamps - counterfeiting or tampering with official design
a It shall be unlawful for any person to counterfeit, forge, imitate
or colorably imitate any cigarette tax stamps or cigarette tax stamp imprint
prescribed by the director of finance, and it shall be unlawful for any person to
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cause such to be done
b It shall be unlawful for any person to alter any cigarette tax
stamp or cigarette tax stamp imprint prescribed by the director of finance, and
it shall be unlawful for any person to cause the same to be done
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c It shall be unlawful for any person to use any cigarette tax stamp
which is a counterfeit, forgery, imitation or colorable imitation of any cigarette
tax stamp imprint prescribed by the director of finance
Section 16 Advancing tax stamp imprinting machines
It shall be unlawful for any person to set or advance any approved cigarette
tax stamp imprinting machine, except under the authority of the director of finance,
and it shall be unlawful to use any cigarette tax stamp imprinting machine set or
advanced in violation of this section
Section 17 Sale, storage and display of unstamped cigarettes
It shall be unlawful for any retail dealer to possess, sell, offer for sale
or display for sale any unstamped packages of cigarettes It shall be the duty
of every retail dealer with a special stamping privilege license to stamp all unstamped
cigarettes as quickly as is reasonably possible, and it shall be unlawful for any
such retail dealer with a special stamping privilege license to mingle unstamped
packages of cigarettes with any packages or cartons of cigarettes displayed for sale
or in any room where retail sales are conducted
Section 18 When stamps not necessary
No cigarette tax stamp need be affixed or imprinted by a wholesale dealer
on any package of cigarettes which is sold by such wholesale dealer for resale
outside the city
Section 19 Advancement of tax
a The cigarette tax shall be, in the first instance, advanced and
paid by the wholesale dealer on the cigarettes which are stamped or imprinted with
cigarette tax stamps and delivered by him to retail dealers for resale within the city
b The cigarette tax shall, in the first instance, be advanced and
paid by the retail dealer with a special stamping privilege license on the cigarettes
which are received by the retail dealer from sources other than a licensed wholesale
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dealer, and cigarette tax stamps or cigarette tax stamp imprints therefor shall
be affixed or imprinted by the retail dealer as quickly as is reasonably possible
Section 20 Duties of Finance Director
The director of finance is hereby authorized to issue and promulgate from
time to time, regulations to aid in the collection of the cigarette tax, which
regulations shall include by way of example, but not by way of limitation, the
following
a The design of the cigarette tax stamp and the cigarette tax
stamp imprint
b The method of affixing and imprinting the cigarette tax stamp
c The records which wholesale dealers, retail dealers and retail
dealers with special stamping privilege licenses are to keep
Section 21 Enforcement and right of entry
All law enforcement officers of the city and all persons designated by the
director of finance shall have the right at any and all times to enter upon the
premises of any wholesale dealer, retail dealer or retail dealer with special
stamping privilege license, licensed under this chapter, for the purpose of
ascertaining whether the provisions of this chapter are being observed Such
right shall include the power to inspect all records and books to be kept under
regulations promulgated by the director of finance
Section 22 Seizure and sale of untaxed cigarettes
Whenever any cigarettes required by the provisions of this article to be
stamped are discovered without proper cigarette tax stamp or cigarette tax stamp
imprint, any law enforcement officer of the city or any authorized representative
of the director of finance is hereby empowered forthwith to seize and take possession
of the same, together with the vending machine and receptacle, if any, in which
the same are held or displayed for sale The director of finance is hereby
authorized to make proper disposition of cigarettes seized under the provisions
of this section by selling the same, if possible, to satisfy the amount of cigarette
stamp tax which should have been paid The balance from such sale, if any, after
deducting all costs incurred and after deducting a penalty of fifty per cent of
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the amount of the required cigarette stamp tax, shall be refunded to the person
from whom such unstamped cigarettes were seized
Section 23 Penalties
Any person who shall violate any of the provisions of this chapter
shall upon conviction be punished as provided in Section 12-6 of the Code of
Ordinances of the City of Fort Collins, Colorado, 1958, as amended, and upon
such conviction, any license which such party so convicted may hold under and
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by virtue of any ordinance of the City for sale of cigarettes shall be imme-
diately revoked and such person shall not beeligible to obtain a new license to
engage in the business of selling cigarettes for a period of ninety days from
the effective date of such revocation
All the remedies herein enumerated for violation of this chapter
shall be cumulative, and the institution and prosecution of any one or more of
them shall not prevent the enforcement of any other remedy
Section 24 Severability
If any provision of this ordinance or its application to any person,
firm or corporation or circumstance is held invalid, such invalidity shall not
affect other provisions or applications of this ordinance The Council declares
that in these regards the provisions of this ordinance are severable
Introduced, considered favorably on first reading, and ordered pub-
lished this 6th day of October , A D , 1966, and to be presented
for final passage on the 27th day of October , A D , 1966
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Mfifor /
ATTEST
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City Cle
Passed and adopted on final reading this 27th day of October , 1966
Mayor /
ATTEST C
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City C1 k
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