                                 CODE OF VIRGINIA

MONTHLY REPORTS OF STAMPING AGENTS; PENALTY (§ 58.1-1008)

In addition to the reporting requirements imposed by § 58.1-1003, every
stamping agent qualifying as such with the Department shall be required to file
a report between the first and twentieth of each month, covering the purchase or
receipt by them of all cigarettes during the preceding month. The report shall
give in detail the different kinds and quantities of cigarettes so purchased or
received by them during the preceding month. The report shall also list all
orders for cigarettes purchased through such wholesale dealer from without this
Commonwealth on a drop shipment and consigned direct to the person ordering such
cigarettes through such stamping agent. The Department may allow such reports to
be filed electronically. If, upon examination of invoices of any stamping agent,
such agent is unable to furnish evidence to the Department of sufficient stamp
purchases to cover unstamped cigarettes purchased by him, the prima facie
presumption shall arise that such cigarettes were sold without the proper stamps
affixed thereto in violation of § 58.1-1003. The Department may impose a
penalty of $250, to be assessed and collected by the Department as other taxes
are collected, on any stamping agent for each failure or refusal to file the
report, or portion thereof, required by this section or by § 3.2-4209 in the
manner and time allowed. The Department may revoke a stamping permit for up to
one year if the stamping agent fails to file more than one of the required
reports in a timely manner in any calendar year. After such time, the stamping
agent must reapply to the Department for a stamping permit. The Department may
also impose a penalty, to be assessed and collected by the Department as other
taxes are collected, of $250 per pack of cigarettes on any person found to be
selling cigarettes in Virginia after his stamping permit has been revoked. Each
pack of cigarettes sold shall be considered a separate offense. Where willful
intent exists, as defined in § 58.1-1013, the penalty shall be $2,500 per pack.

HISTORY: Code 1950, §§ 58-757.2, 58-757.7; 1960, c. 392, §§ 2, 7; 1962, c.
473; 1984, c. 675; 1992, c. 763; 2005, c. 28; 2013, c. 381.