Section R15-3-318. Refunds for and Redemption of Cigarette Tax Stamps

A.      The Department does not bear the risk of loss or theft of cigarette tax stamps sold to a licensee and no longer in the Department’s possession.

B.       Mistakes on the part of a licensee in the handling, usage, or recordkeeping of cigarette tax stamps in its possession will not suffice to oblige the Department to issue a refund.

C.      The Department is not obligated to refund or redeem stamps for a licensee unless the licensee proves any of the following:

1.        The conditions provided in R15-3-314 have been met to show that the licensee affixed the stamps to cigarettes exported from Arizona;

2.        The licensee affixed stamps to articles upon which stamps are not required, except for articles deemed contraband under A.R.S. Title 42, Chapter 3;

3.        The licensee affixed stamps to cigarettes that are unfit for sale due to breakage or spoilage, unless the cigarettes are deemed contraband under A.R.S. Title 42, Chapter 3; or

4.        The licensee has not used the stamps.

D.      Pursuant to A.R.S. § 42-3008(C), the Department will not refund the tax for cigarette tax stamps affixed to articles that are deemed contraband under A.R.S. Title 42, Chapter 3.

Historical Note

Adopted effective March 18, 1981 (Supp. 81-2). Former Section R15-3-318 renumbered to R15-3-313 effective June 20, 1990 (Supp. 90-2). New Section made by exempt rulemaking at 19 A.A.R. 520, effective February 19, 2013 (Supp. 13-1).