Tobacco products sold out of state or to Indian Tribes

From the 2024 DOR Tax Exemption Study

82.26.110 - Tobacco products sold out of state or to Indian Tribes Description In-state wholesalers of tobacco products can obtain a tax credit for sales to tribal and federal organizations. Purpose Historically, the department has not required wholesalers to collect and remit other tobacco products tax on sales to tribal and federal organizations. Still, the treatment of these sales was not straightforward. This statute codified existing practice in response to statutory changes and previously settled lawsuits. Taxpayer ($ in millions): savings FY 2024 FY 2025 FY 2026 FY 2027 State Taxes $85.300 $85.300 $85.300 $85.300 Local Taxes $0.000 $0.000 $0.000 $0.000 Repeal of Repealing this credit would not increase revenues as that would violate federal laws exemption or contractual agreements. Potential ($ in millions): revenue gains FY 2024 FY 2025 FY 2026 FY 2027 from full repeal State Taxes $0.000 $0.000 $0.000 $0.000 Local Taxes $0.000 $0.000 $0.000 $0.000 Assumptions No revenues are realized if the state law is repealed. These sales are exempt at the federal level or through contractual agreements. Data Sources Department of Revenue, Excise tax data Additional Additional Informatio