AB232 – In Honor of Native American Heritage Month

To celebrate Native American Heritage Month, we are sharing all the favorable outcomes of the 82nd Legislative Session.

As all our relatives become more engaged in civic matters, please know that an act relating “to taxation; revising the tax imposed upon the receipt, purchase and sale of premium cigars; and providing other matters properly relating thereto,” is now law.

(AB 232) Under existing law, there is imposed upon the receipt, purchase, or sale of other tobacco products in this State a tax of 30 percent of the wholesale price of those products. (NRS 370.450)

Section 1 of this bill specifically limits the tax imposed upon the receipt, purchase and sale of other tobacco products that are premium cigars to not more than 50 cents or less than 30 cents for each premium cigar.

Section 1 defines “premium cigar” as a cigar that is rolled by hand, has a wrapper made of whole tobacco leaves and does not have a filter or mouthpiece.  Existing law requires the Department of Taxation to allow a credit of 30 percent of the wholesale price, less a discount of 0.25 percent for the services rendered in collecting the tax, for other tobacco products on which the tax has been paid and that may no longer be sold. (NRS 370.490) Section 1.5 of this bill makes a conforming change in response to change in the rate of the tax for premium cigars to provide that the amount of this credit is the amount of the tax paid.   Section 2 of this bill provides that the amendatory provisions of this bill expire by limitation on June 30, 2027.

The NEVADA INDIAN COMMISSION (NIC) is a State agency created by statute in 1965 to “study matters affecting the social and economic welfare and well-being of American Indians residing in Nevada, including but not limited to matters and problems relating to Indian affairs and to federal and state control, responsibility, policy, and operations affecting such Indians.”  Beginning on July 1, 2024, our agency will be known as the Department of Native American Affairs (DNA).        

For more information about this tobacco law, click here.