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New York files a lawsuit Friday against a group of online sellers of cigarettes.
City lawyers claim the retailers are shipping tobacco products into the city in violation of city health regulations. In a complaint filed in U.S. District court in Manhattan, they argued that Internet sites shipping cigarettes cheap cigarettes online store to New York City residents amounted to a public nuisance.The lawsuit seeks to bar the Web sites from making any further shipments. Earlier this year, the city sued a different group of Internet cigarette dealers in January for evading tobacco sales taxes. That case is pending in federal court.But that is not happening, according to Mark Smith, a spokesman for Brown & Williamson Tobacco Co. "I've yet to see one Internet company out there that is collecting cheap cigarettes online store taxes and verifying age," he said. Moreover, added Matt Myers, president of the Campaign for Tobacco-Free Kids, "Internet sales to kids is an emerging and growing problem." Both the federal government and the state attorney general must crack down on such suspect practices. But the best solution would be to eliminate the reason for them. Kentucky should join the vast majority of other states, whose average cigarette tax is now 58.8 cents per pack, cheap cigarettes online store and raise its rate to a level that is both socially responsible and fiscally productive.



"The main goal of this was not to extract money from these cheap cigarettes online store companies, but to keep the product out of the hands of our kids," Dresslar said. "We got our main objective accomplished with regard to this company not selling to kids in CaliforniaAlso named in the lawsuits were Missouri-based Dirt Cheap Cigarettes, Smokin 4 Less of Virginia, Cyco.net Inc of New Mexico, eSmokes of Florida and LLP Enterprises/CigOutlet of Virginia. The lawsuits are still proceeding against the other companies, said Tom Dresslar, cheap cigarettes online store a spokesman for Lockyer.
When Lockyer filed the lawsuits he said he hoped to collect $1 million from the six companies combined.



"Consumers who use the Internet to buy cigarettes from cheap cigarettes online store vendors in other states are liable for their own state's cigarette excise tax and, in some cases, sales and/or use taxes," the GAO report explains. "States can learn of such purchases and the taxes due when vendors comply with the Jenkins Act."
How are the states doing? Let's put it this way: Next time someone lights a cigarette near you, try grabbing a handful of the smoke. . . . That's how they're doing.
The cheap cigarettes online store report doesn't get at a precise dollar figure for the lost tax revenue but does cite a year-old Forrester Research estimate that U.S. online tobacco sales will reach $5 billion by 2005 and that the states will lose out on $1.4 billion as a result.
Here is what's happening . . . or, more precisely, not happening.
Ah, the Jenkins Act. There lies the rub between old law and new cheap cigarettes online store technology, as the lawmakers who passed the act - in 1949 - obviously knew not of the Internet. Nonetheless, the act requires vendors - including online merchants - who ship cigarettes into another state to anyone other than a licensed distributor to report the details of all such transactions to the tax authorities in those states.



Just how pervasive is the disdain for this law? Some of these online cheap cigarettes online store outfits carry revealing names such as Notaxsmokes.com and Dutyfreetaxfree.com, while others proudly proclaim on their home pages that they do not and will not comply with the Jenkins Act. Their excuses - including claims of exemption by American Indians - are all bogus, according to the GAO.In theory, the recipients of the cigarettes are supposed to pay the taxes or the states will come calling to collect.
In practice, precious few smokers pay up, and the governments are in poor position to collect because cheap cigarettes online store only a handful of merchants fulfill their responsibilities under the Jenkins Act.

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