Indian smoke shops are seeing a surge in business since the state of New York has raised its tobacco tax on July 1.

The parking lots at Cayuga Nation, Onondaga Nation and Oneida Nation businesses are full. Patrons say they drive miles to reservation smoke shop to avoid an additional $6.02 charge on a pack of 20 cigarettes.

“This tax is only hurting New York State businesses,” smoker Julie Squadrito told The Syracuse Post-Standard. “I plan on quitting soon, hopefully, but for right now I just buy the cheaper ones.”

The Cayuga Nation has seen a 50 to 60 percent increase in cigarette sales, representative Clint Halftown said. That's about 1,200 additional customers a day.

The state wants to force tribal retailers to collect taxes on the sale of tobacco to non-Indians under a new law that takes effect September 1.

Get the Story:
After NY tax hikes, Indian shops pack in the smokers (The Syracuse Post-Standard 8/11)
State seizes truckload of Seneca cigarettes (The Buffalo News 8/11)
Cigarettes seized between NY Indian reservations (AP 8/10)

Relevant Documents:
ATF Letter on Tribal Consultation (May 19, 2010)

Prevent All Cigarette Trafficking Act:
H.R.1676 | S.1147

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