Lawyers for Indian tribes are in federal court today to make a last-ditch effort to stop legislation taxing reservation cigarette sales to non-Indian customers.
This comes after a state judge yesterday refused to block New York State from enforcing a $4.35 per pack tax starting tomorrow.
Seneca Indian Nation officials had argued that the state circumvented procedures by adopting the regulations on an emergency basis.
The tax is expected to generate an estimated $200 million a year in revenues for the state.
Tribes argue the plan infringes on their sovereignty and could damage their economies.
UPDATE: A federal judge today temporarily blocked New York State’s legislation taxing reservation cigarette sales to non-Indian customers.
A state judge yesterday refused to block the state from enforcing a $4.35 per pack tax starting tomorrow.
The ruling delays the collections for at least two weeks.
Seneca Indian Nation officials had argued that the state circumvented procedures by adopting the regulations on an emergency basis.
The tax is expected to generate an estimated $200 million a year in revenues for the state.
Tribes argue the plan infringes on their sovereignty and could damage their economies.
(Source: NY1)
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One Response
They will probably win since states can’t tax Indian reservations. At most the state can charge a “use” tax on people leaving the reservation. Given that those tribes once owned most of western New York, and the state neglected to pay them when confiscating the land (a matter still be litigated), the state shouldn’t complain too much.