[Editor's note: This version of this section takes effect only if a ballot issue is approved by the people at the next regular general election in November
2020. See the editor's note following this section.] (1) Except as set forth in subsection (3) of this section, there is levied a tax upon the sale, use, consumption, handling, or distribution of all tobacco products in this state, excluding modified risk tobacco products, at the rate of:
Twenty percent of the manufacturer's list price of the tobacco products for the taxlevied prior to January 1, 2021;
Thirty percent of the manufacturer's list price of the tobacco products for the taxlevied on and after January 1, 2021, but prior to July 1, 2024;
Thirty-six percent of the manufacturer's list price of the tobacco products for the taxlevied on and after July 1, 2024, but prior to July 1, 2027; and
Forty-two percent of the manufacturer's list price of the tobacco products for the taxlevied on and after July 1, 2027.
There is levied a tax upon the sale, use, consumption, handling, or distribution ofmodified risk tobacco products in this state at the rate of:
Fifteen percent of the manufacturer's list price of the modified risk tobacco productsfor the tax levied on and after January 1, 2021, but prior to July 1, 2024;
Eighteen percent of the manufacturer's list price of the modified risk tobacco products for the tax levied on and after July 1, 2024, but prior to July 1, 2027; and
Twenty-one percent of the manufacturer's list price of the modified risk tobacco products for the tax levied on and after July 1, 2027.
(a) If the total of the tax imposed upon the sale, use, consumption, handling, or distribution of moist snuff under subsection (1) of this section and section 39-28.5-102.5 is less than the minimum moist snuff tax specified in subsection (3)(b) of this section, then the tax imposed upon the sale, use, consumption, handling, or distribution of moist snuff under this section is equal to the minimum moist snuff tax minus the tax imposed under section 39-28.5102.5.
(b) (I) The minimum moist snuff tax is equal to:
One dollar forty-eight cents for each one and two-tenth ounce container for the taxlevied on and after January 1, 2021, but prior to July 1, 2024;
One dollar eighty-four cents for each one and two-tenth ounce container for the taxlevied on and after July 1, 2024, but prior to July 1, 2027; and
Two dollars twenty-six cents for each one and two-tenth ounce container for the taxlevied on and after July 1, 2027.
(II) The amount specified in subsection (3)(b)(I) of this section is proportionally increased for any container larger than one and two-tenths ounces.
The tax set forth in this section is collected by the department and is imposed at thetime the distributor:
Brings, or causes to be brought, into this state from without the state tobacco products for sale;
Makes, manufactures, or fabricates tobacco products in this state for sale in this state;
Ships or transports tobacco products to retailers in this state to be sold by thoseretailers; or
Makes a delivery sale.
Source: L. 86: Entire article added, p. 1114, § 13, effective July 1. L. 2020: Entire section R&RE, (HB 20-1427), ch. 248, p. 1193, § 12, effective (see editor's note).
Editor's note: Section 27(2) of chapter 248 (HB 20-1427), Session Laws of Colorado 2020, provides that changes to this section take effect on the date of the governor's proclamation or January 1, 2021, whichever is later, only if, at the November 2020 statewide election, a majority of voters approve the ballot issue referred in accordance with section 39-28-401.
Cross references: For the tax on cigarettes, see article 28 of this title.