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NYC sues Indian reservation over tax-free cigarettes
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by poolparty | September 29, 2008 at 02:38 pm
9938 views | 1 Recommendation | 16 comments
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New York City has decided to crack down -on smuggling, and sue smoke shops on an Indian reservation in Mastic. Eight shops are accused of selling tax-free cigarettes to bootleggers. Only 279 people live on the Poospatuck Indian Reservation, and yet the sales numbers show that each person on the reservation would have to be smoking over 19,000 cigarettes each day. Yeah…those numbers don’t add up.
New York City is suing eight smoke shops that have been selling tax-free cigarettes on an Indian reservation on Long Island.
The lawsuit accuses the small cluster of shops on the Poospatuck (POOS'-puh-tuhk) Indian Reservation of breaking state and federal law by selling massive quantities of cigarettes to bootleggers, who then smuggle the cartons off the reservation and resell them throughout the metropolitan area.
A probe documented sales by the shops of nearly 24 million cartons of contraband cigarettes since 2004, city officials said. About 279 people live on the reservation.
While residents of Indian reservations are permitted to buy cigarettes tax-free for personal use, "the sales numbers translate to every resident of this reservation, including babies, each smoking 19,200 cigarettes each single day," city officials said.
The tax losses from the sales have been estimated at $525 million in state taxes and up to $195 million for New York City. The lawsuit was filed in Brooklyn federal court.
"We've done a good job of saving surpluses for tough times and cutting costs, but we owe it to taxpayers to be just as tough on the tax collection side," Bloomberg said. "As we all pull together to do more with less, it's just grossly unfair to hardworking taxpayers to leave hundreds of millions of dollars of tax revenue on the table uncollected."
Tribal authorities have long acknowledged that smuggling is a problem, but they defend the right of the shops to sell cigarettes without collecting state tobacco taxes. The suit was filed in Brooklyn federal court.
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at 14:55 on September 29th, 2008
But...But....But I always buy cigarettes at Indian Reservations when I'm near one, and gas too! Does that make me a smuggler? What about all their casinos? New York State is just jealous.
at 10:55 on October 1st, 2008
bullshit..hard working tax payers???..The actual cost of making cigarettes is around 5 to 6 dollars a carton..and in most countries except north america, they are sold for around 9 or 10 bucks a carton..eg.. a 20 pack of king size marlboro cost around 1.50 USD in most countries in asia. The rest of the money that is being charged is taxes..For years, this has been the practice...I live in canada, and the average cost for a pack of smokes is 10 bucks. popular brands like dunnhill-11.00 dollars and higher, marlboro-$11.67, Rothmans-$12.53..and these prices are per pack of 25 cigs..so, basically the government is over taxing the general public. taxes are around 1000 % of manufacturing cost.. ie..if it costs 5 dolars for something to be made, 50 dollars is charged as taxes...if this isnt the biggest rippoff ever, then what is????
at 16:48 on November 30th, 2008
if the Gov. is going to [band cigs.] then do it,
other wise leave it alone.
just like booze-its our choice, not the goverment. Or Is it? do we have any rights left?or not,taxes are high enough----------raise the minimum wage-not cig. taxes
at 17:49 on January 22nd, 2009
Give me a brake, let's just tax very little thing out there. It's been some time but I think people have forgoten a the little things... like the Boston tea party, this is nut the FTA, the Feds... should just tax us on the taxes we pay already, oh that's right they do! Let the little guy have something, stop pushing taxes on things that keep people going. I was stock to see prices of a pack of cigarettes at 7.00 and up in NEW YORK ( thank god I left ) Tax me to death. And whom is going to profit for this lawsuit come on please there are poeple selling drugs in the streets, man and woman are get kill in wars fighting for this crap and not a damn is be done, they would like you to beleave something is, but is isn't so tell who making money on this one? (Tell me as sit here and smoke my taxed cigarette NOT)
at 00:00 on March 1st, 2009
disband nyc council and save 50 MILLION minimum.
end sanctuary city status and save BILLIONS.
keep the taxes comin' bloooomboig and watch the taxpayers goinG.
at 07:43 on March 7th, 2009
It is the fault of our own goverment that make us smokers buy online and out of this OBAMA dammed country. Why should we pay double or triple? Cut the high taxes and we might consider buying here in the states.
at 13:17 on March 10th, 2009
BULLSH*T!!!!!! THE GOVERNMENT IS TRYING TO RUN THE CITIZENS LIVES. I HAVE A LEGAL JOB, GROSS $800.00+ & COME HOME WITH ABOUT$450.00. THATS CRAZY..... THEY WONDER WHY THE "CITIZENS" DO ALL THIS ILLEGAL STUFF...... THE MORE THE GOVERNMENT MAKES US UNHAPPY AND KEEP TAKING OUR MONEY, THE BOOTLEGGING WILL NOT STOP. OUR GOVERNMENT IS NOT FOR US, THEY ARE FOR THEM...... SCREW YOU.......
at 18:30 on April 7th, 2009
To make a long story short, the Indians are exempt from taxes.
They are only trying to get the names of the people who are bootlegging.
Its the whole point.
If the bootleggers can no prove that they smoked all of those smokes (easy) then all thats left is no more suposent bootleggers and thus taxes or people quite smoking.
at 15:52 on June 7th, 2009
I love cigarettes.
at 12:29 on July 17th, 2009
ARE THERE ANY INDIAN STORES CLOSE TO N.J. WHERE I CAN GO TO TO
BUY CIGARETTES
at 09:06 on August 3rd, 2009
Hey New York City tax Nazi's, I hate to break it to you, but if it had not been for almost 400 years of lies, theft, murder, breach of contracts, ethnic cleansing, a land grabbing and basic screwing over to those unfortunate people who happen to be the only race with any real right to live on this land your sorry a$$ greedy freaking city, state, he77 this freaking country wouldn't even exist! You have the audacity to begrudge the one of the few rights left them on their pathetically inadequate nations (and mind you that each reservation is exactly that, a sovereign nation) one of their few sources of income. Mind you that is akin to suing Iran because gas is cheaper and not subject to US, City, State and Federal taxes there, it's moronic! This government and your state and city in particular has done enough screwing of those people, how about they tax you for the use of the island your city sits on that your founders robbed them out of for what a hand full of beads and a few buttons? Have any of you people been on to see the poverty level of many of these reservations while we as a nation grow fat and rich on the fruits of their homeland! Anyone who supports further oppression, fiscal or physical if the Native people honestly makes me sick, the debt we owe them is immeasurable, yet this is a great example of how the government decides to show them the gratitude (and regret) for the sacrifices we (as a nation) have imposed on them. By filing lawsuits because they sold cigarette's tax free within the bounds of their own Nation, which by law they have every right to. Come to think of it, wasn't Tobacco one of their crops? Didn't we just steal that from them too? Who exactly has more right to do what they like with a product they developed, they refined, they shared, and they were robbed of first by plantation owners (who usually killed off, or occasionally drove the native Cherokee Tobacco farmers and stole their fields, land and crops) and the big corporations who later took it over than they do?
at 06:07 on August 5th, 2009
none of the debates make actual sense in an actual world.
government needs us to deal with the cigs problem, while it does something on a side.
they don't even care about actual living thing called human being. they just do their thing.
it called missdirection.
so i say: go on, boss, u r boss, watever u say boss, keep on pushing, boss... because i know u can go further, boss...
tho i'll just bare all this bullshit on my very back... and i'll just live with that.
i can quit. anything. even life. but i will. and i free will. and i will free will wat i will.
even tho u try to take it from me. i'll still have it. because i born as human being within the right to live my own life as only i could will. and u r just a circumstance, hallucinative boss of mine.
at 08:50 on August 18th, 2009
Ladies and gentlemen,I know what the solution is.We as americans,all races and colors need to band together as a people.We need to march on Washington during sessions of congress when all U.S. politicians and law makers have congragated and perform the Louisville Slugger justice.That's where we march with louisville slugger baseball bats and crack open the skulls of ALL politicians and lawmakers,letting them know enough is enough.Has everyone forgotten that less than 3 years ago(right before hurricane Katrina)gasoline was less than $1.00 a gallon?Since then,oil companies have posted the biggest profits in history.What did we do?000.We just took it.What did we do during the AIG debacle when all their ceo's got all that baliout $$$? 000.We just took it.Politicians,lawmakers,ceo's,celebreties,athletes, and generally all the rich pay LESS taxes than some people who are 1 centimeter above the poverty level.What do we do? 000.We just take it.Our rights are being taken away from us little by little,and what are we doing? 000.We just keep taking it. Now they want to crackdown on us and the Indian reservations because of what? MORE FUCKING $$$$. Rising insurance costs,medical costs,taxes on homes and literally everything u can think of from cigarettes to baby diapers.WHAT ARE WE DOING? 000. WE JUST KEEP TAKING IT!!! "TRUST ME MY FELLOW AMERICANS" (gee,where have we heard that before) LOUISVILLE SLUGGER justice will remind all theiving politicians that this country,AMERICA, is supposed to be a government FOR the people BY the people!!!!!!!!!
at 19:44 on August 18th, 2009
I WANT TO APPLAUD "ONE FED UP AMERICAN" FOR SAYING EXACTLY WHAT I FEEL. WHOEVER YOU ARE,AND WHERE EVER YOU ARE......SIGN ME UP............YOU HAVE MY VOTE FOR PRESIDENT. PLEASE POST YOUR E-MAIL ADDRESS SO I CAN THANK YOU FOR SPEAKING OUT
at 19:55 on August 18th, 2009
No way it was that cheap. Not since the first gas crisis in the seventies has it been that cheap. Rising costs are called inflation. Its what happens when the economy sucks ass. Taxes are what allow for infrastructure and all those public services. Get used to it theyve been around for thousands of years.
Lousiville Slugger justice= lawless idiots making a bad situation worse. Its like a riot what the hell does it do but cause more problems without solving any?
at 18:30 on August 19th, 2009
GRACE H MUST BE ONE OF THOSE RICH UPPER CLASS THAT "ONE FED UP" WAS TALKING ABOUT. SHE OBVIOUSLY IS CLUELESS OR TO YOUNG TO REMEMBER THAT IN THE '70'S WAS THE GAS RATIONING."ONE FED UP" IS RIGHT THAT LESS THAN 4 YEARS AGO GASOLINE WAS LESS,YES LESS THAN ONE DOLLAR A GALLON. SHE OBVIOUSLY IS CLUELESS AND DIDN'T UNDERSTAND THAT THE WHOLE PURPOSE OF HIS,OR HERS COMMENTS ARE IN REFERENCE TO HOW THE GOVERNMENT" SCREWS US OVER" HOW CAN SOME ONE BE THAT NAIVE OR BLIND AS TO THE POINT OF ONE FED UPS POINT. I GUESS BUSH AND HIS BUDDIES LEFT US IN GREAT SHAPE,OR THAT HE DIDN'T STEAL2 ELECTIONS.BUT ONLY SOME ONE AS NARROW MINDED AS YOU MISSED THE WHOLE POINT OF "ONE FED UP'S" POINT OF TAXES AND NOW CLOSING INDIAN RESERVATIONS BECAUSE OF LACK OF CO-OPERATION,IS UNJUST.IF YOU JUSTIFY RISING TAXES AND THE LOSS OF OUR RIGHTS BEING DIMINISHED WHILE THE RICH GET RICHER AND MORE PWERFUL U DON'T DESERVE TO BE AN AMERICAN. YOU MUST BE SOME POLITICIANS FAMILY MEMBER........"ONE FED UP" YOU ARE RIGHT...THIS COUNTRY SADLY MAY NEED A REVOLUTION WITH ALL PEOPLE BANNING TOGETHER AGNST RICH AND UNSRUPULOUS POLITICIANS AND LETTING THEM KNOW AS YOU SO BRILLIANTLY STATED "A GOVERNMENT RUN FOR THE PEOPLE,BY THE PEOPLE".THANK YOU FOR YOUR COURAGE,AND DON'T LET IDIOTS LIKE GRACE BE-LITTLE YOUR IDEAS. IF YOU EVER RUN FOR OFFICE, YOU SOUND LIKE SOME ONE WHO CARES FOR THE LITTLE PEOPLE.PLEASE, AS KANSAS(WHO ALSO AGREES WITH YOU STATED),POST YOUR E-MAIL SO I CAN THANK YOU......"LOUISVILLE SLUGGER JUSTICE" IS THE ONLY WAY