16-11-102. Definitions. (1) As used in this chapter, the following definitions apply, unless the context requires otherwise:
(a) "Cigarettes" means any roll for smoking made wholly or in part of tobacco, irrespective of size or shape and whether or not the tobacco is flavored, adulterated, or mixed with any other ingredient, the wrapper or cover of which is made of nontobacco paper or any other substance or material except tobacco.
(b) "Department" means the department of revenue provided for in 2-15-1301.
(c) "Person" means an individual, firm, partnership, corporation, association, company, or other business entity, however formed.
(2) As used in this part, the following definitions apply, unless the context requires otherwise:
(a) "Cigarette vendor" means a person doing business in the state who purchases cigarettes through a wholesaler, subjobber, or retailer for 10 or more cigarette vending machines that the person operates for a profit in premises or locations other than the person's own. That person must be treated as a wholesaler. A person who operates fewer than 10 cigarette vending machines must be treated as a retailer.
(b) "Full face value of insignia" means the total amount of the tax levied under this part.
(c) "Insignia" or "indicia" means the impression, mark, or stamp approved by the department under the provisions of this part.
(d) "Licensed retailer" means any person, other than a wholesaler, subjobber, or cigarette vendor, who is licensed under the provisions of this part.
(e) "Licensed subjobber" means a subjobber licensed under the provisions of this part. The person must be treated as a wholesaler.
(f) "Licensed wholesaler" means a wholesaler licensed under the provisions of this part.
(g) "Manufacturer" means any person who fabricates cigarettes from raw materials for the purpose of resale.
(h) "Public warehouses" means agents or representatives of manufacturers who receive cigarettes in carload lots for distribution in original cases to wholesalers and retailers.
(i) "Record" means an original document, a legible facsimile, or an electronically preserved copy.
(j) "Retailer" means a person who operates a store, stand, booth, concession, or other outlet for the purpose of selling cigarettes at retail.
(k) "Sale" or "sell" means any transfer of cigarettes for consideration, exchange, barter, gift, offer for sale, or distribution in any manner or by any means.
(l) "Sole distributor" means a person who either causes a unique brand of cigarettes to be manufactured according to distinctive specifications and acts as the exclusive distributor of the cigarettes or is the exclusive distributor of a brand of cigarettes within the continental United States.
(m) "Subjobber" means a person who purchases from a licensed wholesaler cigarettes with the Montana cigarette tax insignia affixed and sells or offers to sell the cigarettes to a licensed retailer or cigarette vendor. An isolated sale or exchange of cigarettes between licensed retailers does not constitute those retailers as subjobbers. A licensed subjobber shall use the license in the interest of the general public. If during any month more than 35% of the volume of cigarette sales by a subjobber is with any retail client whose business is controlled directly or indirectly through consanguinity or affinity with the owner or employer for that retail business, the license is considered to have been used or to be intended to be used in violation of this part.
(n) "Wholesaler" means a person who services retail outlets by maintaining an established place of business for the purchase of cigarettes and who:
(i) purchases cigarettes from a manufacturer for the purpose of selling cigarettes to retailers; or
(ii) purchases cigarettes from a sole distributor, another wholesaler, or any other person for the purpose of selling cigarettes to retailers.
History: En. Sec. 1, Ch. 140, L. 1969; amd. Sec. 205, Ch. 516, L. 1973; amd. Sec. 1, Ch. 445, L. 1975; R.C.M. 1947, 84-5606.2; amd. Sec. 1, Ch. 130, L. 1991; amd. Sec. 12, Ch. 578, L. 1995.
