If i buy duty free cigarettes online, how can I pay the tax on them so I don't get a bill from the govt?
I've been told if you buy cigarettes duty free, the government will send you a bill if you dont pay it. I am looking to get some of the cheap cartons online, but I also dont want a bill at the end of the year, anyone know about this?
Best Answer - Chosen by Voters
First off, you need to check your state's laws on the importation of tobacco products. (Importation referring to tobacco crossing state lines, not necessarily international borders, in this context.) Some states prohibit the importation of tobacco produces by ANYONE who is not a state-licensed tobacco distributor. ANY importation of tobacco products in those states is a criminal act and stiff penalties (in addition to the state tobacco and sales taxes) are common. An excellent example is RI, with typical penalties running at around $100 per carton of bootleg smokes, on top of the taxes that are due.
If your state permits private citizens to import tobacco products, your state DoR can give you a rundown on what the tobacco taxes and sales taxes are, along with how to file the necessary returns and pay the taxes.
In most cases it's cheaper to just buy them locally, once the cost of the smokes, shipping, state tobacco taxes and state sales taxes are added in.
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