Scope of licenses

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    (a)    A manufacturer license authorizes the licensee to:

        (1)    sell unstamped cigarettes to:

            (i)    a licensed cigarette wholesaler located in Maryland; and

            (ii)    a licensed cigarette wholesaler located outside of Maryland if the unstamped cigarettes may lawfully be sold in Maryland;

        (2)    except as otherwise prohibited or restricted under local law, this article, or the Criminal Law Article, distribute sample cigarettes to consumers located in Maryland;

        (3)    store unstamped cigarettes in a licensed cigarette storage warehouse for subsequent shipment to licensed wholesalers, federal reservations, or persons out of state; and

        (4)    upon approval of the Comptroller, act as an agent of a Maryland licensed wholesaler for stamping and distribution of cigarettes.

    (b)    A retailer license authorizes the licensee to:

        (1)    act as a retailer; and

        (2)    buy stamped cigarettes from a subwholesaler or wholesaler.

    (c)    (1)    A storage warehouse license authorizes the licensee to operate a storage facility in Maryland for the purpose of storing unstamped cigarettes on behalf of a licensed cigarette manufacturer.

        (2)    If a storage warehouse licensee is a licensed cigarette wholesaler or licensed cigarette subwholesaler, the storage warehouse license authorizes the holder to store stamped cigarettes and cigarettes with another state’s tax stamp.

    (d)    A subwholesaler license authorizes the licensee to:

        (1)    act as a subwholesaler;

        (2)    buy stamped cigarettes from a wholesaler or another subwholesaler; and

        (3)    store stamped cigarettes and cigarettes with another state’s tax stamp at a licensed cigarette storage facility.

    (e)    A vending machine operator license authorizes the licensee to:

        (1)    act as a vending machine operator; and

        (2)    buy stamped cigarettes from a subwholesaler or wholesaler.

    (f)    A wholesaler license authorizes the licensee to:

        (1)    act as a wholesaler;

        (2)    buy unstamped cigarettes directly from a cigarette manufacturer;

        (3)    hold unstamped cigarettes;

        (4)    buy tobacco tax stamps as authorized by § 12–303 of the Tax – General Article;

        (5)    transport unstamped cigarettes in the State;

        (6)    sell unstamped cigarettes to another licensed wholesaler if the Comptroller specifically authorizes;

        (7)    upon approval of the Comptroller, designate a licensed manufacturer to act as its agent for the stamping and distribution of cigarettes; and

        (8)    store stamped cigarettes and cigarettes with another state’s tax stamp at a licensed cigarette storage facility.


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