AB75: Bill Text

AB75, s. 2325 Section 2325. 134.65 (5) (b) of the statutes is created to read:

AB75,1272,20 134.65 (5) (b) No penalty shall be imposed under par. (a) if any of the following apply:

AB75,1272,23 1. The secretary of revenue determines that imposing a penalty would be inequitable because of inadvertent acts, mistakes, or unusual circumstances related to the violation.

AB75,1272,25 2. The person who is subject to a penalty under par. (a) had good cause to violate this section, and such violation did not result from the person's neglect.

AB75, s. 2326 Section 2326. 134.66 (2) (d) of the statutes is created to read:

AB75,1273,6 134.66 (2) (d) No retailer, direct marketer, manufacturer, distributor, jobber or subjobber, no agent, employee or independent contractor of a retailer, direct marketer, manufacturer, distributor, jobber or subjobber, and no agent or employee of an independent contractor may provide cigarettes or tobacco products for nominal or no consideration to any person under the age of 18.

AB75, s. 2327 Section 2327. 134.66 (3m) of the statutes is created to read:

AB75,1273,10 134.66 (3m) Defense of direct marketer. Proof of all of the following facts by a direct marketer who sells cigarettes or tobacco products to a person under the age of 18 is a defense to any prosecution for a violation under sub. (2) (a):

AB75,1273,12 (a) That the direct marketer used a mechanism, approved by the department of revenue, for verifying the age of the purchaser.

AB75,1273,14 (b) That the purchaser falsely represented that he or she had attained the age of 18 and presented a copy or facsimile of an identification card.

AB75,1273,16 (c) That the name and birthdate of the purchaser, as indicated by the purchaser, matched the name and birthdate on the identification presented under par. (b).

AB75,1273,19 (d) That the sale was made in good faith, in reasonable reliance on the mechanism described in par. (a) and the representation and identification under pars. (b) and (c), and in the belief that the purchaser had attained the age of 18.

AB75, s. 2328 Section 2328. 134.80 of the statutes is amended to read:

AB75,1273,25 134.80 Home heating fuel dealers. Any dealer selling fuel of any kind for the purpose of heating a private residence shall notify each private residential customer whose account is subject to disconnection of the existence of the fuel assistance programs provided by the department of administration commission under s. 16.27 196.3746.

AB75, s. 2329 Section 2329. 139.30 (4n) of the statutes is repealed and recreated to read:

AB75,1274,2 139.30 (4n) "Identification card" has the meaning given in s. 134.66 (1) (c).

AB75, s. 2330 Section 2330. 139.30 (7) of the statutes is amended to read:

AB75,1274,6 139.30 (7) "Manufacturer" means any person who directly manufactures cigarettes for the purpose of sale, including the authorized agent of a person who directly manufactures cigarettes for the purpose of sale.

AB75, s. 2331 Section 2331. 139.30 (8s) of the statutes is created to read:

AB75,1274,10 139.30 (8s) "Person" means any individual, sole proprietorship, partnership, limited liability company, corporation, or association, or any owner of a single-owner entity that is disregarded as a separate entity under ch. 71.

AB75, s. 2332 Section 2332. 139.31 (1) (a) of the statutes is amended to read:

AB75,1274,13 139.31 (1) (a) On cigarettes weighing not more than 3 pounds per thousand, 88.5 126 mills on each cigarette.

AB75, s. 2333 Section 2333. 139.31 (1) (b) of the statutes is amended to read:

AB75,1274,16 139.31 (1) (b) On cigarettes weighing more than 3 pounds per thousand, 177 252 mills on each cigarette.

AB75, s. 2334 Section 2334. 139.32 (4) of the statutes is amended to read:

AB75,1274,20 139.32 (4) In lieu of stamps the secretary may authorize impressions applied by the use of meter machines. The secretary shall prescribe by rule the type of impression and the kind of machines which may be used.

AB75, s. 2335 Section 2335. 139.32 (5) of the statutes is amended to read:

AB75,1274,24 139.32 (5) Manufacturers, bonded direct marketers, and distributors who are authorized by the department to purchase tax stamps shall receive a discount of 0.7 0.5 percent of the tax paid on stamp purchases.

AB75, s. 2336 Section 2336. 139.321 (1) (intro.) of the statutes is amended to read:

AB75,1275,3 139.321 (1) (intro.) It is unlawful for any person to purchase or possess cigarettes unless the required stamps are properly affixed as provided in ss. 139.32 (1) and 139.33 (4).

AB75, s. 2337 Section 2337. 139.321 (1) (a) 1. of the statutes is amended to read:

AB75,1275,6 139.321 (1) (a) 1. Manufacturers, bonded direct marketers, distributors or warehouse operators possessing valid permits issued by the secretary.

AB75, s. 2338 Section 2338. 139.323 (3) of the statutes is amended to read:

AB75,1275,10 139.323 (3) The land on which the sale occurred was designated a reservation or trust land on or before January 1, 1983, or on a later date as determined by an agreement between the department and the tribal council.

AB75, s. 2339 Section 2339. 139.34 (1) (a) of the statutes is amended to read:

AB75,1275,17 139.34 (1) (a) No person may manufacture cigarettes in this state or sell cigarettes in this state as a distributor, manufacturer, jobber, vending machine operator, direct marketer, or multiple retailer and no person may operate a warehouse in this state for the storage of cigarettes for another person without first filing an application for and obtaining the proper permit to perform such operations from the department.

AB75, s. 2340 Section 2340. 139.34 (1) (b) of the statutes is repealed.

AB75, s. 2341 Section 2341. 139.34 (1) (c) (intro.) of the statutes is repealed and recreated to read:

AB75,1275,22 139.34 (1) (c) (intro.) A permit under this section may only be issued to a person to whom all of the following apply:

AB75, s. 2342 Section 2342. 139.34 (1) (c) 1. of the statutes is repealed.

AB75, s. 2343 Section 2343. 139.34 (1) (c) 1m. of the statutes is created to read:

AB75,1276,2 139.34 (1) (c) 1m. Subject to ss. 111.321, 111.322, and 111.335, the person does not have an arrest record or a conviction record.

AB75, s. 2344 Section 2344. 139.34 (1) (c) 2. of the statutes is amended to read:

AB75,1276,5 139.34 (1) (c) 2. The Unless pardoned, the person has not been convicted of a felony, unless pardoned or as a habitual offender.

AB75, s. 2345 Section 2345. 139.34 (1) (c) 3. of the statutes is repealed.

AB75, s. 2346 Section 2346. 139.34 (1) (c) 3m. of the statutes is created to read:

AB75,1276,11 139.34 (1) (c) 3m. The person is the holder of a seller's permit or use tax registration certificate as required by this subchapter or has been informed by an employee of the department that the department will issue a seller's permit or use tax registration certificate to that person.

AB75, s. 2347 Section 2347. 139.34 (1) (c) 4. of the statutes is repealed.

AB75, s. 2348 Section 2348. 139.34 (1) (c) 4m. of the statutes is created to read:

AB75,1276,14 139.34 (1) (c) 4m. The person is 18 years of age or older.

AB75, s. 2349 Section 2349. 139.34 (1) (c) 5. of the statutes is repealed.

AB75, s. 2350 Section 2350. 139.34 (1) (c) 6. of the statutes is repealed.

AB75, s. 2351 Section 2351. 139.34 (1) (c) 7. of the statutes is renumbered 139.34 (1) (c) 5m.

AB75, s. 2352 Section 2352. 139.34 (1) (cm) of the statutes is created to read:

AB75,1276,21 139.34 (1) (cm) The requirements under par. (c) apply to all partners of a partnership, all members of a limited liability company, all agents of a limited liability company or corporation, and all officers of a corporation.

AB75, s. 2353 Section 2353. 139.34 (1s) of the statutes is created to read:

AB75,1276,25 139.34 (1s) (a) No corporation or limited liability company organized under the laws of this state or of any other state or foreign country may be issued a permit under this section unless:

AB75,1277,3 1. The entity first appoints an agent in the manner prescribed by the department. In addition to the qualifications under sub. (1), the agent must, with respect to character, record and reputation, be satisfactory to the department.

AB75,1277,7 2. The entity vests in the agent, by properly authorized and executed written delegation, full authority and control of the premises described in the entity's permit, and of the conduct of all business on the premises relative to the sale of cigarettes, that the permittee could have and exercise if it were a natural person.

AB75,1277,10 (b) A corporation or limited liability company may cancel the appointment of an agent and appoint a successor agent to act in the agent's place, for the remainder of the permit year or until another agent is appointed, as follows:

AB75,1277,12 1. The successor agent shall meet the same qualifications required of the first appointed agent.

AB75,1277,15 2. The entity shall immediately notify the department, in writing, of the appointment of the successor agent and the reason for the cancellation and new appointment.

AB75,1277,19 (c) A successor agent shall have all the authority, perform all the functions and be charged with all the duties of the previous agent of the corporation or limited liability company until the department approves or disapproves of the successor agent.

AB75,1277,22 (d) The corporation or limited liability company shall, following the department's approval of each successor agent or another qualified agent, pay the department a fee of $10.

AB75,1277,25 (e) If an agent appointed under this subsection resigns, he or she shall notify in writing the corporation or limited liability company and the department within 48 hours of the resignation.

AB75, s. 2354 Section 2354. 139.34 (4) of the statutes is amended to read:

AB75,1278,7 139.34 (4) A separate permit shall be required of and issued to each class of permittee and the holder of any permit shall perform only the operations thereby authorized. Such permit shall not be transferable from one person to another or from one premises to another. A separate permit shall be required for each place where cigarettes are stamped or where cigarettes are stored for sale at wholesale or, through vending machines or multiple retail outlets, or by direct marketing.

AB75, s. 2355 Section 2355. 139.34 (6) of the statutes is amended to read:

AB75,1278,12 139.34 (6) A vending machine operator or a multiple retailer may acquire unstamped cigarettes from the manufacturers thereof and affix the stamps to packages or other containers only if the vending machine operator or multiple retailer also holds a permit as a distributor or bonded direct marketer.

AB75, s. 2356 Section 2356. 139.34 (8) of the statutes is amended to read:

AB75,1278,19 139.34 (8) The holder of a warehouse permit is entitled to store cigarettes on the premises described in the permit. The warehouse permit shall not authorize the holder to sell cigarettes. Unstamped cigarettes stored in a warehouse for a manufacturer, bonded direct marketer, or distributor may be delivered only to a person holding a permit as a manufacturer or, distributor, or bonded direct marketer who is authorized by the department to purchase and affix tax stamps.

AB75, s. 2357 Section 2357. 139.345 (1) (a) of the statutes is amended to read:

AB75,1279,2 139.345 (1) (a) No person may sell cigarettes to consumers in this state as a direct marketer or solicit sales of cigarettes to consumers in this state by direct marketing unless the person submits to has obtained a permit under s. 139.34 from the department the person's name, trade name, address of the person's principal place of business, phone number, e-mail address, and Web site address to make such sales or solicitations. The person shall file an application for a permit under this subsection with the department, in the manner prescribed by the department.

AB75, s. 2358 Section 2358. 139.345 (1) (b) of the statutes is amended to read:

AB75,1279,14 139.345 (1) (b) No person may sell cigarettes as described under this section unless the person obtains a permit under par. (a) and certifies to the department, in the manner prescribed by the department, that the person shall acquire stamped cigarettes from a licensed distributor or unstamped cigarettes from the manufacturer thereof, pay the tax imposed under this subchapter on all unstamped cigarettes and affix stamps to the cigarette packages or containers as provided under s. 139.32 (1), store such packages or containers, and sell only such packages or containers to consumers in this state by direct marketing; or acquire cigarettes from a distributor, to the packages or containers of which stamps have been affixed as provided under s. 139.32 (1), and sell only such packages or containers to consumers in this state by direct marketing.

AB75, s. 2359 Section 2359. 139.345 (1) (d) of the statutes is amended to read:

AB75,1279,23 139.345 (1) (d) No person may sell cigarettes as described in this section unless the person obtains a permit under par. (a) and certifies to the department, in the manner prescribed by the department, that the person shall register with credit card and debit card companies; that the invoices and all means of solicitation for all shipments of cigarette sales from the person shall bear the person's name and address and the permit number of the permit ultimately issued under this subsection; and that the person shall provide the department any information the department considers necessary to administer this section.

AB75, s. 2360 Section 2360. 139.345 (3) (intro.) of the statutes is amended to read:

AB75,1280,2 139.345 (3) (intro.) No person may sell cigarettes to consumers a consumer in this state unless the person does all of the following:

AB75, s. 2361 Section 2361. 139.345 (3) (a) (intro.) of the statutes is amended to read:

AB75,1280,5 139.345 (3) (a) (intro.) Verifies the consumer's name identity and address and that the consumer is at least 18 years of age by any of the following methods:

AB75, s. 2362 Section 2362. 139.345 (3) (a) 2. of the statutes is amended to read:

AB75,1280,11 139.345 (3) (a) 2. The person receives from the consumer, at the time of purchase, a copy of a government issued an identification card and verifies that the name specified on the identification card matches the name of the consumer and that the birth date on the identification card indicates that the consumer is at least 18 years of age.

AB75, s. 2363 Section 2363. 139.345 (7) of the statutes is repealed.

AB75, s. 2364 Section 2364. 139.345 (8) of the statutes is created to read:

AB75,1280,17 139.345 (8) (a) No person may sell cigarettes to consumers in this state by direct marketing unless the tax imposed under s. 139.31 (1) is paid on the cigarettes and stamps are affixed to the cigarette packages or containers as provided under s. 139.32.

AB75,1280,21 (b) No person may sell cigarettes to consumers in this state by direct marketing unless the cigarette brands are approved by the department and listed in the directory of certified tobacco product manufacturers and brands as provided under s. 995.12 (2) (b).

AB75, s. 2365 Section 2365. 139.345 (9) of the statutes is created to read:

AB75,1281,2 139.345 (9) Except as provided in sub. (12), any person who, without having a valid permit under sub. (1), sells or solicits sales of cigarettes to consumers in this state by direct marketing shall pay a penalty to the department of $5,000 or an amount that is equal to $50 for every 200 cigarettes, or fraction of 200 cigarettes, sold to consumers in this state by direct marketing, whichever is greater.