Form 70-015 - Annual Application For Iowa Cigarette Permit/tobacco Tax License printable pdf download

Dear Potential Cigarette/Tobacco Distributor:

This cover letter is for the application and surety bond form for an Iowa Cigarette and/or Tobacco

Distributor’s License. The fee for this license is $100.00 per fiscal year, and the surety bond

requirement for this license is $2,500.00. The Tobacco Distributor’s License is free if you hold a valid

cigarette permit, and the surety requirement for this license is $1,000.00.

Cigarette permits and tobacco products licenses are regulated by Chapters 453A and 421B of the Iowa

Code. You must also comply with Chapters 453C and 453D of the Iowa Code.

ONLY APPROVED BRANDS OF CIGARETTES MAY BE SOLD IN IOWA

Any brand not on the list is contraband. The list of approved brands is always current at

Any contraband or non-Iowa tax stamped

package is subject to seizure and penalties under the provisions of the Iowa Code 453A & 453D.

E-mail Notification

You must go online and join the Cigarette/Tobacco eList, and you will receive an e-mail when the

directory of approved brands list changes. Go to Scroll down

to Cigarette and Tobacco Tax, then click on Join/Leave List. All notifications of directory changes and

price changes are sent through the eList service only.

Cigarette Stamps

You must use cigarette tax stamps for the purpose of applying the required cigarette tax. Little cigars

are taxed at the same rate as cigarettes. The current tax rate is $1.36 per pack of 20s and $1.70 per pack

of 25s. Stamps may be ordered from the Department of Revenue or one of the banks acting as an agent

for the Department. Stamps ordered from the Department will be shipped by Fed Ex at the distributor’s

risk. There is no credit for stamp purchases, and there is no way to accept the payment electronically at

this time. For your first two stamp orders, you must use certified funds for your stamp order.

Filing Requirements

You will be required to file monthly cigarette reports to this division, which are due on or before the

10th day of each month for the preceding month. Tobacco reports are required to be filed on a monthly

basis and are due on or before the 20th day of each month for the preceding month. For tobacco tax, the

tax is due when the report is filed. Tobacco products (except for snuff and cigars) are taxed at 50

percent. Snuff (moist and dry) products are taxed at $1.19 per ounce. Cigars are taxed at 50 percent or

$.50 per cigar, whichever is lower. The Tobacco Returns on the Web site are in Excel, and the cigar

form will figure the tax for you. I encourage you to keep accurate records of your shipments into Iowa

and to file your monthly reports on time. There is a penalty starting at $200.00 for any late-filed reports

PACT Act - Prevent All Cigarette Trafficking Act

The Department has deemed it necessary for ALL cigarette/tobacco manufacturers and distributors who

sell, transfer, or ship for profit cigarettes, or Other Tobacco Products (OTP) into Iowa to report PACT

Act information. The Department has developed an electronic process for reporting PACT Act

Form 70-015 - Annual Application For Iowa Cigarette Permit/tobacco Tax License