OAR 150-323-0120: Responsibility for Affixing of Tax Stamps

(1) The distributor that first distributes cigarettes to anyone in the state of Oregon must affix the required tax stamps to the packs of cigarettes. This requirement applies to distributors that are physically located inside or outside of Oregon. Example 1: If a distributor sells cigarettes to a dealer in Oregon, the distributor must affix the required tax stamps. Example 2: If distributor A sells cigarettes to distributor B who is within Oregon, distributor A must affix the required tax stamps. (2) If the distributor that first distributes cigarettes in Oregon fails to affix the required tax stamps, any subsequent distributor possessing unstamped cigarettes must affix the required tax stamps before distributing those cigarettes in Oregon. (3) A distributor that fails to affix the tax stamps as required by section (1) may be subject to civil and criminal penalties as provided in ORS 323.480 to 323.482. (4) Distributors are not required to affix tax stamps to cigarettes that are free from tax under ORS 323.040, 323.050, 323.055, or 323.060.