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Senator Mensch’s Bill to Adjust Retailer Presumptive Minimum Price of Cigarettes Passes Senate 

7/5/2016

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Harrisburg –  Senator Bob Mensch’s (R-24) Senate Bill 691 to adjust the retailer presumptive minimum price of cigarettes formula passed the Senate unanimously.
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The retailer presumptive minimum price of cigarettes formula was established more than 60 years ago.  The legislation would adjust the rate from 6% to 7% for retailers who have had no price adjustment in the history of the law.

The legislation benefits thousands of retail licensees that will see their cash flow enhanced. The Department of Revenue will also have a clearer paper trail in the event of an audit and sales tax collections.  In addition, SB 691 will further assist in collection of the Philadelphia school tax.

SB 691 is supported by the Pennsylvania Food Merchants and the Pennsylvania Distributors Association.  It does not affect cigars, snuff, chew or other tobacco products, and this is not a tax.  

The bill was referred to the House Finance Committee for consideration.

For more information on Senator Mensch’s legislation, visit www.senatormensch.com.  State updates can also be found on Senator Mensch’s Facebook atwww.facebook.com/senatormensch, or Twitter @SenatorMensch. 
 
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CONTACT: Sarah Rasmussen srasmussen@pasen.gov  (215) 541-2388
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