XT 2005-04 - Excise and Motor Fuel Tax Division Information
Release - Cigarette Tax Increase For All Ohio Stamping
Cigarette Wholesalers - June 23, 2005
The 126th Ohio General Assembly recently passed Amended
Substitute House Bill 66 which included a tax increase on
cigarettes effective July 1, 2005. The current tax rate
is 2.75 cents per cigarette, and the new rate will be 6.25
cents per cigarette or $1.25 per package of 20. The new
tax on packages sold in Cuyahoga County will be $1.295 per
package of 20.
As a result of the tax increase, you are required to
pay a floor stock tax on all affixed and unaffixed state and
combined cigarette tax stamps on hand as of the close of
business on June 30, 2005. There is no
additional tax on county only stamps. Enclosed is your
Ohio floor stock tax return which must be filed and paid by
September 30, 2005, and is based on your June 30 ending
inventory. Tax stamps in transit that were paid for at
the old rate must be counted in your June 30 inventory even
though you may not have possession on that date. A 1.8
percent discount is allowed on all affixed and unaffixed
stamps. In addition, if the return is filed and paid by
August 15, 2005, a 5 percent credit may be deducted from the
tax due.
The enclosed informational release and
floor stock tax return has been
mailed to all retailers. We would appreciate it if you
would notify your retail customers and provide them with a
copy of the retailer release and
retailer
return if they did not receive them. An account
number will be assigned to the retailer when they contact the
Ohio Department of Taxation
If you have any questions or problems, please contact us at
the address shown below:
Ohio Department of Taxation
Excise Tax Section
P.O. Box 530
Columbus, Ohio 43216-0530
Telephone: (614) 466-7026
Fax: (614) 728-1806
Website: tax.ohio.gov