Be it enacted by the Senate and House of Representatives
in General Court assembled, and by the authority of the same,
SECTION 1. Section 2D of chapter 29 of the General Laws, as most recently amended by section 58 of chapter 367 of the acts of 1978, is hereby further amended by adding the following clause:- (f) Forty per cent of all amounts in excess of one hundred sixty-nine million eight hundred thousand dollars per year received under section six of chapter sixty-four C.
SECTION 2. Section 24 of chapter 62C of the General Laws, as appearing in section 22 of chapter 415 of the acts of 1976, is hereby amended by striking out the second paragraph and inserting in place thereof the following paragraph:-
Stocks of unused stamps in the possession of stampers, as defined in section one of chapter sixty-four C, shall be open to inspection by the commissioner or his duly authorized representative at all reasonable times.
SECTION 3. Section 67 of said chapter 62C, as most recently amended by section 18 of chapter 572 of the acts of 1980, is hereby further amended by inserting after the first paragraph the following paragraph:-
In the instance of an application for a license as a manufacturer, wholesaler, vending machine operator, unclassified acquirer, transportation company, or retailer, as defined in chapter sixty-four C, the commissioner shall investigate the prior activities of the applicant. If the commissioner determines that said applicant has been convicted of any violation of the provisions of chapter sixty-four C or any other pertinent violation of law, he may deny the application; provided, however, that the commissioner shall grant or deny a license to said applicant within ninety days from the date of application; and provided further, that if the commissioner fails to act within such time period, the application shall be deemed denied.
SECTION 4. Chapter 64C of the General Laws is hereby amended by striking out section 28, as most recently amended by section 4 of chapter 481 of the acts of 1979, and inserting in place thereof the following section:-
Section 28. All sums received under this chapter shall be paid into the treasury of the commonwealth and shall be credited as follows:-
(a) Ten and one-half mills of the excise imposed by section six and a proportionate amount of all sums received as penalties, forfeitures, interest, costs of suits and fines shall be credited to the General Fund.
(b) Two and one-half mills of the excise imposed by section six and a proportionate amount of all sums received as penalties, forfeitures, interest, costs of suits and fines shall be credited to the Highway Fund; provided, however, that forty per cent of all amounts in excess of one hundred sixty-nine million eight hundred thousand dollars per year received under section six of this chapter shall first be credited to the Local Aid Fund and only the remainder shall be credited as set forth in paragraphs (a) and (b).
SECTION 5. Section 29 of said chapter 64C, as amended by section 159 of chapter 514 of the acts of 1978, is hereby further amended by striking out the second paragraph.
SECTION 6. Said chapter 64C is hereby further amended by striking out section 30, as most recently amended by section 160 of said chapter 514, and inserting in place thereof the following section:-
Section 30. Every stamper shall purchase cigarette excise stamps from the commissioner and shall affix them, in the manner and within the time prescribed by the commissioner, to each package of cigarettes to be sold within the commonwealth in an aggregate denomination not less than the amount of the excise upon the contents thereof before such cigarettes are offered for sale or otherwise disposed of. The commissioner may by regulation provide for the cancellation of such stamps. Any person subsequently receiving such stamped packages of cigarettes shall not be liable for said excise. The commissioner shall furnish such stamps in such quantities as may be necessary, and he shall provide for the custody of the stamps, dies, plates and other materials and supplies used in the manufacture of said stamps in such manner as he deems expedient. The commissioner may, whenever he deems it advisable, provide for the issuance and exclusive use of stamps of a new design, and forbid the use of stamps of any other design. The commissioner shall make provisions for the sale of such stamps at such places and at such times as he may deem expedient.
The commissioner may appoint as stampers licensed manufacturers and such licensed wholesalers and licensed vending machine operators who bring or cause to be brought into the commonwealth unstamped cigarettes purchased directly from the manufacturers thereof, and such licensed unclassified acquirers as he deems necessary. Only a stamper shall affix stamps to be used in paying the said excise, unless the commissioner otherwise prescribes. A stamper may affix such stamps only on cigarettes which are sold by him in the regular course of the business in which he is engaged and for which he is licensed, and on cigarettes for such other licensees as the commissioner may in writing specifically authorize and in accordance with such conditions as the commissioner may impose.
Every such stamper shall affix stamps on each cigarette package no later than seventy-two hours after receipt of the cigarettes.
Every such stamper who has complied with the provisions of this chapter and the pertinent rules and regulations made thereunder may withhold and retain from each payment to be made by him for such stamps, as compensation for service rendered in compliance with this chapter, one dollar and eighty-five cents for each six hundred cigarette excise adhesive stamps purchased, and a proportionate amount for any fraction thereof.
No such compensation shall be allowed on any sale of less than one hundred dollars. The commissioner, in his discretion, may, permit a stamper to pay for such stamps within thirty days after the date of purchase; provided, that the stamper furnishes a bond pursuant to section sixty-six of chapter sixty-two C.
SECTION 7. Said chapter 64C is hereby further amended by striking out section 31, as most recently amended by section 161 of said chapter 514, and inserting in place thereof the following section:-
Section 31. The commissioner shall redeem any unused or mutilated but identifiable stamps that any stamper may present for redemption; provided, that they were originally lawfully purchased by the stamper who presents them for redemption. Such redemption shall be made at the face value thereof less allowances made for compensation. The commissioner may prescribe necessary rules and regulations for redemptions under this section. If the commissioner is satisfied that a stamper is entitled to a redemption he shall issue to him stamps of equivalent value to cover the mutilated stamps or he may order a refund equal to the actual amount paid for said unused or mutilated stamps, and shall certify said amount to the comptroller, whereupon the state treasurer shall pay the amount of such refund without any appropriation therefor by the general court.
SECTION 8. Said chapter 64C is hereby further amended by striking out section 38, inserted by section 5 of chapter 435 of the acts of 1966, and inserting in place thereof the following section:-
Section 38. Whoever, not being an authorized agent, sells or offers for sale any stamp or stamps issued under the provisions of this chapter in order to provide evidence of the payment of the excise imposed by this chapter shall be punished by a fine of not more than two thousand dollars or by imprisonment for five years, or both.
SECTION 9. In order to provide for an orderly transition in the conversion of stampers from meter to decal stamps under the provisions of chapter sixty-four C of the General Laws, as amended by this act, the commissioner of revenue is hereby authorized to extend the use of meter stamps by stampers beyond January first, nineteen hundred and eighty-five, if he determines that circumstances beyond the control of said stampers prevent full compliance by said date. No extension beyond June thirtieth, nineteen hundred and eighty-five shall be permitted.
SECTION 10. This act shall take effect on January first, nineteen hundred and eighty-five.