"A resolution approved by several Oklahoma Indian tribes proposes doing away with current tobacco compacts and instead taxing tribal retailers at a rate one-fourth that of nontribal retailers. It's a plan that should be snuffed out.

The resolution was signed by members of 22 of the state's 39 tribes, who say the change would result in more money for the state and, in turn, for the many health-related initiatives being funded by the tobacco tax. But it also would put nontribal retailers at a whopping disadvantage.

Nontribal retailers now pay a tax of $1.03 per pack. Tribes that have compacts with the state are to pay 86 cents per pack, and those without compacts must pay 77 cents per pack. However, some tribally licensed shops are selling thousands of cartons of cigarettes each month with the lowest possible tax stamp -- 6 cents per pack. Those are reserved mostly for shops at border locations, but they're being sold elsewhere, particularly in the Tulsa area, costing the state millions in revenue."

Get the Story:
25 percent solution: Tribes' proposal comes up short (The Oklahoman 5/24)
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Relevant Links:
Oklahoma Tax Commission - http://www.oktax.state.ok.us

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