SB216 Alabama 2022 Session

Summary

Primary Sponsor

Bobby D. SingletonSenator

Democrat

Session

Regular Session 2022

Title

Tobacco products, tax, enforcement by Revenue Dept and law enforcement, tobacco account required, transporting when unstamped and untaxed, civil penalites by Dept., criminal penalties, forfeiture of motor vehicles authorized, Secs. 40-25-8.1, 40-25-8.2, 40-25-26.1 added; Sec. 40-25-16.1 am'd.

Summary

SB216 tightens tobacco sales and transport rules in Alabama by requiring accounts and monthly reporting, plus new permits, penalties, and enforcement for unstamped or untaxed tobacco.

What This Bill Does

It requires sellers who use a sales tax number to obtain a tobacco account and report monthly tobacco sales for resale. It creates new permit requirements for transporting tobacco and imposes civil and criminal penalties for transporting unstamped or untaxed tobacco, including possible seizure and vehicle forfeiture. It also requires proof of destination and documentation when transporting tobacco and authorizes the Department of Revenue to adopt rules to implement these changes, with an effective date of January 1, 2023.

Who It Affects

• Tobacco wholesalers, jobbers, retailers, importers, and distributors who sell tobacco products; they must obtain a tobacco account, report monthly sales for resale, and face penalties if unregistered.
• People or entities that transport tobacco products (and their vehicles); they must have an active tobacco or transporter permit, may have contraband seized and vehicles forfeited, and face misdemeanor or felony penalties based on quantity and repeat offenses.

Key Provisions

• Amends Section 40-25-16.1 to require sellers using a sales tax number to obtain a tobacco account and report the sale on the monthly tobacco sales for resale report.
• Declares sales to purchasers using a sales tax number as purchases for resale, triggering tobacco account registration and monthly reporting requirements.
• Establishes penalties for non-registered sellers: first a written warning, second a civil penalty of $100, and third or subsequent civil penalties of $100 multiplied by the number of violations.
• Adds Section 40-25-8.1: requires an active tobacco or transporter permit to transport untaxed or unstamped tobacco; allows seizure of contraband and possible vehicle confiscation; penalties include Class A misdemeanor or Class C felony based on quantities, with second/subsequent offenses as Class C felony.
• Adds Section 40-25-8.2: requires proof of destination/documentation for transported tobacco; civil penalties for failure to present documentation; transporting without proper documentation may be a Class A misdemeanor, with second/subsequent offenses a Class C felony.
• Adds Section 40-25-26.1: the Department of Revenue may adopt rules to implement and administer these provisions.
• Effective date: January 1, 2023.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Revenue Department