Dec 26, 2008 9:20 am US/Eastern
NY Judge Blocks Indian Cigarette Tax Law
BUFFALO, N.Y. (AP) ―
A judge is temporarily barring state officials from enforcing a new law requiring the collection of taxes on cigarettes sold on Indian reservations.
State Supreme Court Justice Rose Sconiers signed the order this week and told government officials to appear in her court next month to show why she shouldn't issue a permanent injunction against the tax collection.
The new law, scheduled to take effect in February, will prohibit manufacturers from selling tobacco products without a state tax stamp to any wholesaler that doesn't certify the cigarettes won't be resold tax-free by New York tribes.
Morgan Hook, a spokesman for Gov. David Paterson, says the state will comply with the judge's order while it reviews the judge's decision.
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