Duties of retail dealers and vending machine operators; unlawful possession of unstamped cigarettes; seizure, stamping and sale of unstamped cigarettes to licensed wholesalers; seizure and sale of vending machines.
1. Every retail dealer making a sale to a customer shall, at the time of sale, see that each package, packet or container has the Nevada cigarette revenue stamp or metered stamping machine indicia properly affixed.
2. Every cigarette vending machine operator placing cigarettes in his coin-operated cigarette vending machines for sale to the ultimate consumers shall at the time of placing them in his machine see that each package, packet or container has the Nevada cigarette revenue stamp or metered stamping machine indicia properly affixed.
3. No unstamped packages, packets or containers of cigarettes may lawfully be accepted or held in the possession of any person, except as authorized by law or regulation. For the purposes of this subsection, “held in possession” means:
(a) In the actual possession of the person; or
(b) In the constructive possession of the person when cigarettes are being transported or held for him or for his designee by another person. Constructive possession is deemed to occur at the location of the cigarettes being transported or held.
4. Any cigarettes found in the possession of any person except a person authorized by law or regulation to possess them, which do not bear indicia of Nevada excise tax stamping, must be seized by the Department or any of its agents, and caused to be stamped by a licensed cigarette dealer, or confiscated and sold by the Department or its agents to the highest bidder among the licensed wholesale dealers in this state after due notice to all licensed Nevada wholesale dealers has been given by mail to the addresses contained in the Department’s records. If there is no bidder, or in the opinion of the Department the quantity of the cigarettes is insufficient, or for any other reason such disposition would be impractical, the cigarettes must be destroyed or disposed of as the Department may see fit. The proceeds of all sales must be classed as revenues derived under the provisions of NRS 370.001 to 370.430, inclusive.
5. Any cigarette vending machine in which unstamped cigarettes are found may be so seized and sold to the highest bidder.
Last modified: February 27, 2006