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Legal


If you are a common US citizen seeking reasonable ways of buying your favorite smokes without going bankrupt this essay is strongly recommended for your sake!

Introduction
Interstate Trade from the States with Low Taxes
Interstate Trade from Indian Reservation
International Trade - Stores Located Out of the USA
SAVINGS COMPARISON
Conclusions

The price and delivery conditions do not differ much from State-to-state trade. What about customers' safety? As for American interstate trade, the danger might be in receiving back taxes bills.
Concerning this matter, 2 questions arise
  1. Should Indian tribal-run online stores located in Native American reservations comply with Jenkins Act?
  2. Is it mandatory to pay for the cigarettes that were ordered several years ago?
The NY State (and other states as well) believes that Indians should comply with the Jenkins Act, but the tradition of relationship during the last few years between Federal and States Authorities with the Indians is so, that Authorities don't wish to touch upon the questions related to the liberty of Indian Tribes. Indians, on their end, are considered as sovereign nations, and it gives them good reasons to believe they shouldn't comply with the Jenkins Act.
Let's consider the matter of sovereignty.
State governments claim that Internet crackdown is about stopping sales of cigarettes to minors, halting the flow of black market cigarette profits to criminal enterprises and complying with laws governing the sale of tobacco products.
Senecas see different issues.
They say it is all about collecting billions of dollars in lost tax revenue that, if successful, will come at the expense of the Seneca Nation's sovereignty, which they insist makes them immune to state taxes.
But Seneca President Barry E. Snyder Sr. has said that the Internet sales dispute is outside the realm of native sovereignty rights - a stance that has upset the tribe's online retailers.
By failing to take up their cause, the merchants say it is only a matter of time before state government attempts to force collection of sales taxes on tobacco and gasoline sales once again involving customers who drive onto Seneca reservations.
"We are a sovereign nation, and the nation has to back us up. It can't say you guys are out on your own," said Suzanne Smith, who works at a family-owned Internet smoke shop. "The nation has to draw the line."
The situation of Indian online retailers is not stable.
On one hand:
On November 15, 2004 Gov. George Pataki (NYS) vetoed a bill that would have taxed cigarettes and gasoline sold to non-Indians from reservations around the state, saying the measure went against his policy of negotiating voluntary solutions with tribes. "Rather than taking actions that will undoubtedly be viewed as an assault on tribal sovereignty, it has been the policy of my administration to negotiate in good faith," Pataki wrote in his veto message.
On the other hand:
Sales of cigarettes and gasoline by Indian retailers would be subject to state taxes under a proposal (February 2005) being drafted by the Pataki administration, reversing its long-held position of ignoring calls to target the lucrative businesses.
The state tax commissioner said his agency is moving ahead with regulations to collect taxes on Indian sales of cigarettes and gasoline, a move the head of the Seneca Nation believes will never happen. To view disputes about taxes on cigarettes from Native Indian stores click here...
Let's imagine that one day the situation changes and authorities (ATF, DOJ, NYC, etc.) will obtain the right to apply Jenkins Law to tribal-run online stores. What may happen?
This implies the second question:
Is it mandatory to pay for the cigarettes that were ordered several years ago?
As practice shows, in the case of disclosed databases of online cigarettes retailers, the NYC and other states went after the taxes unpaid by customers for several years. View details…
So we think that today's situation with tribal-run stores is safe. But in the case if Jenkins Act becomes applicable to tribal-run stores, the customers might be taxed for a couple of years. And, moreover, taking into consideration the situation from Massachusetts (see above), the customer should be anxious that his purchases might be disclosed by UPS, even if it is kept confidential by Indian online store.
Pre-conclusion: The price and delivery terms almost don't differ from the state-to-state trade, the American quality.
We think that now Indians may not comply with the Jenkins Act for uncertain time. So, tribal-run retailers are a safe refuge now. Unfortunately, it's not stopping cities and states from pursuing them. Some of the retailer sites, listed as defendants in the NYC lawsuit, are tribal-run.
Even so, it's a political and legal hot potato and we have most faith in their pledge not to divulge customer information under any pressure, legal or otherwise. So if you had noticed one of the Indian reservation sites you've done business with in the above lists you have hope that you still will be safe. But nobody can guarantee the future events.
Summary:
affordable price, quite lower than at local retail stores
fast delivery: 2-5 business days
As of today it is safe to buy cigarettes at tribal-run online stores, but it may become unsafe in the unpredictable future, plus there is a high risk of being back taxed even for orders placed during safe times.
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