PRINTER'S NO. 1572
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
1407
Session of
2023
INTRODUCED BY BOYD, JUNE 13, 2023
REFERRED TO COMMITTEE ON HEALTH, JUNE 13, 2023
AN ACT
Amending the act of June 22, 2000 (P.L.394, No.54), entitled "An
act requiring certain tobacco product manufacturers to place
certain moneys into an escrow fund; conferring powers and
duties upon the Attorney General and the Department of
Revenue; and imposing penalties," further providing for
definitions.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. The definition of "units sold" in section 3 of
the act of June 22, 2000 (P.L.394, No.54), known as the Tobacco
Settlement Agreement Act, is amended to read:
Section 3. Definitions.
The following words and phrases when used in this act shall
have the meanings given to them in this section:
* * *
"Units sold." The number of individual cigarettes sold in
this Commonwealth by the applicable tobacco product manufacturer
during the year in question[, as measured by taxes collected by
the Commonwealth on packs bearing the tax stamp of the
Commonwealth required under section 1215 of the act of March 4,
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
1971 (P.L.6, No.2), known as the Tax Reform Code of 1971; by
taxes collected by the Commonwealth on "roll-your-own" tobacco
containers which are not required to have a tax stamp under
section 1215 of the Tax Reform Code of 1971; and by taxes
collected by the Commonwealth on cigarettes sold without a tax
stamp, when authorized by the Department of Revenue, under
section 1215(h) of the Tax Reform Code of 1971. The Department
of Revenue shall promulgate such regulations as are necessary to
ascertain the amount of State tax paid on the cigarettes of such
tobacco product manufacturer for each year.] on which the
Commonwealth has authority under Federal law to collect State
excise tax, notwithstanding whether the State excise taxes were
imposed or collected by the Commonwealth. Cigarettes that are
exempt from State excise taxes under Federal law are
specifically excluded from this definition. The Department of
Revenue shall promulgate regulations necessary to ascertain the
number of cigarettes sold by the tobacco product manufacturer in
this Commonwealth for each year.
Section 2. The following shall apply:
(1) The Office of Attorney General shall attempt to
obtain the consent of the participating manufacturers under
the Master Settlement Agreement to the amendment of the
definition of "units sold" in section 3 of the act.
(2) If consent is obtained under paragraph (1), the
Office of Attorney General shall:
(i) provide notice to the Secretary of Revenue; and
(ii) transmit notice of the consent to the
Legislative Reference Bureau for publication in the next
available issue of the Pennsylvania Bulletin.
(3) If consent is not obtained under paragraph (1), the
20230HB1407PN1572 - 2 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
Office of Attorney General shall:
(i) notify the Secretary of Revenue; and
(ii) transmit notice of the refusal to the
Legislative Reference Bureau for publication in the next
available issue of the Pennsylvania Bulletin.
Section 3. This act shall take effect as follows:
(1) The amendment of the definition of "units sold" in
section 3 of the act shall take effect 60 days after
publication of the notice of consent under section 2(2)(ii)
of this act.
(2) The remainder of this act shall take effect
immediately.
20230HB1407PN1572 - 3 -
1
2
3
4
5
6
7
8
9
10
11
12