103 KAR 41:100. Segregation of cigarettes

      Section 1. Inventories of cigarettes held by persons licensed under KRS 138.195 must be maintained in the following manner:

      (1) Untax-paid cigarettes must be stored in a separate area from cigarettes bearing tax evidence. Kentucky tax evidence, or that of another state must be affixed to all packages within the required time unless the cigarettes are distributed within the same period of time into states not using tax evidence. Any receipt and distribution records deemed necessary by the Department of Revenue must be established and maintained by all licensees authorized to receive untax-paid cigarettes.

      (2) Cigarettes stamped with the tax evidence of another state must be stored in a separate and distinct area from cigarettes bearing Kentucky tax evidence. These cigarettes must be either shipped by the wholesaler directly into the state for which the packages were stamped or transferred to persons licensed to receive and distribute cigarettes for resale into the said state. (CT-30; 1 Ky.R. 333; eff. 2-5-1975; Tam eff. 5-20-2009; TAm eff. 6-28-2016.)

Notation

      RELATES TO: KRS 138.146

      STATUTORY AUTHORITY: KRS 131.130(1)

      NECESSITY, FUNCTION, AND CONFORMITY: This administrative regulation interprets KRS 138.146 as it applies to the segregation of cigarettes and the maintaining of records by persons licensed as cigarette dealers under KRS 138.195.