2009 - 2010 LEGISLATURE
August 18, 2009 - Introduced by Representatives Smith, Pasch, Benedict,
Richards, Black, Hebl, Hixson, Hilgenberg, Berceau, Parisi, Mason,
Soletski, Turner, Young, Roys, Shilling, Pope-Roberts, Clark, Sinicki,
Zigmunt, Townsend
and Spanbauer, cosponsored by Senators Risser, Robson
and Lehman. Referred to Joint Committee on Finance.
AB381,1,2 1An Act to amend 139.32 (5); and to create 139.39 (7) of the statutes; relating
decreasing the discount on amounts paid for tax stamps on cigarettes.
Analysis by the Legislative Reference Bureau
Under current law, the state imposes an excise tax on the sale of cigarettes. The
person who pays the tax affixes tax stamps to the cigarette package to indicate that
the tax has been paid. All persons who are authorized to purchase tax stamps receive
a discount on the tax owed equal to 0.7 percent of the tax.
Under the bill, all persons who are authorized to purchase tax stamps receive
a discount on the tax owed equal to 0.5 percent of the tax. In addition, the
Department of Revenue credits an amount equal to 0.2 percent of the amount paid
on the purchase of tax stamps to the appropriation for tobacco control grants and
For further information see the state fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB381, s. 1 3Section 1. 139.32 (5) of the statutes is amended to read:
1139.32 (5) Manufacturers, bonded direct marketers, and distributors who are
2authorized by the department to purchase tax stamps shall receive a discount of 0.7
30.5 percent of the tax paid on stamp purchases.
AB381, s. 2 4Section 2. 139.39 (7) of the statutes is created to read:
AB381,2,75 139.39 (7) The department shall credit an amount of the tax collected under
6this subchapter equal to 0.2 percent of the tax paid on stamp purchases to the
7appropriation account under s. 20.435 (1) (fm).
AB381, s. 3 8Section 3. Effective date.
AB381,2,109 (1) This act takes effect on the first day of the 2nd month beginning after
AB381,2,1111 (End)