LB 212 — Require licensure of persons engaged in remote sales of covered tobacco products under the Tobacco Products Tax Act and provide for taxation of such sales

and (c) such other information as the Tax Commissioner may require for the purpose of administering the Tobacco Products Tax Act.

(2) A person outside of this state who ships or transports tobacco products to any person in this state to be sold in this state may make application for a license and be granted such a license by the Tax Commissioner.

If a license is granted, such person shall be subject to the Tobacco Products Tax Act and shall be entitled to act as a licensee.

A person outside this state who receives a license shall have established sufficient contact with this state for the exercise of personal jurisdiction over the -1- LB212 LB212 2026 person in any matter or issue arising under the act.

(3) A person outside of this state who makes remote retail sales of covered tobacco products to consumers in this state shall make application for a license and be granted such a license by the Tax Commissioner.

If a license is granted, such person shall be subject to the Tobacco Products Tax Act after making one hundred thousand dollars in sales or two hundred separate sales transactions of covered tobacco products in the preceding or current calendar year.

A person outside this state who receives a license shall have established sufficient contact with this state for the exercise of personal jurisdiction over the person in any matter or issue arising under the act.

Sec.

7.

Section 77-4014, Reissue Revised Statutes of Nebraska, is amended to read:

77-4014 (1) On or before the tenth day of each calendar month, every person licensed under subsection (1) of section 77-4009 shall file a return with the Tax Commissioner showing either the quantity and the price of each tobacco product brought or caused to be brought into this state for sale or the quantity and the price of each tobacco product made, manufactured, or fabricated in this state for sale in this state, whichever is applicable, during the preceding calendar month.

For snuff, such return shall also include the net weight as listed by the manufacturer.

(2) Every person licensed pursuant to subsection (2) of section 77-4009 shall, in the manner described in subsection (1) of this section, file a return showing in detail the different kinds, quantity, and wholesale sales price of each tobacco product shipped or transported to retailers in this state to be sold by such retailers during the preceding calendar month.

For snuff, such return shall also include the net weight as listed by the manufacturer.

(3) On or before the tenth day of each calendar month, every person licensed pursuant to subsection (3) of section 77-4009 shall, in the manner described in subsection (1) of this section, file a return showing in detail the different kinds, quantity, and purchase price paid by each such seller of each covered tobacco product shipped or transported to consumers in this state in the preceding calendar month.

(4) (3) Returns shall be made upon forms furnished and prescribed by the Tax Commissioner.

Each return shall be accompanied by a remittance for the full tax liability shown, less an amount of such liability equal to any amount allowed a payer of the sales and use tax pursuant to subdivision (1)(d) of section 77-2708 as compensation to reimburse the licensee for his or her expenses incurred in complying with the Tobacco Products Tax Act.

Sec.

8.

Section 77-4017, Revised Statutes Cumulative Supplement, 2024, is amended to read:

77-4017 (1)(a) (1) Every person licensed or certified under the Tobacco Products Tax Act pursuant to subsection (1) or (2) of section 77-4009 shall keep complete and accurate records for all places of business, including itemized invoices of tobacco products (i) (a) held, purchased, manufactured, or brought in or caused to be brought into this state or (ii) (b) for a person located outside of this state, shipped or transported to retailers in this state.

Such records shall be of sufficient detail to identify the manufacturer of each tobacco product held, purchased, manufactured, or brought in or caused to be brought into this state.

For snuff, such records shall also include the net weight as listed by the manufacturer.

(b) Every person licensed under subsection (3) of section 77-4009 shall keep complete and accurate records for all places of business, including all itemized invoices of covered tobacco products sold to consumers in this state.

Such persons shall also keep records sufficient to identify the purchase price of the covered tobacco products paid by the licensee on such invoices.

(2) All books, records, and other papers and documents required to be kept by this section shall be preserved for a period of at least three years after the due date of the tax imposed by the Tobacco Products Tax Act unless the Tax Commissioner, in writing, authorizes their destruction or disposal at an earlier date.

(3) At any time during usual business hours, duly authorized agents or employees of the Tax Commissioner may enter any place of business of a person licensed or certified under the Tobacco Products Tax Act and inspect the premises, the records required to be kept pursuant to this section, and the tobacco products contained in such place of business for purposes of determining whether or not such person is in full compliance with the act.

Refusal to permit such inspection by a duly authorized agent or employee of the Tax Commissioner shall be grounds for revocation, cancellation, or suspension of the license or certification.

Sec.

9.

 This act becomes operative on January 1, 2027.

Sec.

10.

Original sections 77-4004, 77-4009, and 77-4014, Reissue Revised Statutes of Nebraska, section 77-4017, Revised Statutes Cumulative Supplement, 2024, and sections 77-4001 and 77-4002, Revised Statutes Supplement, 2025, are repealed.

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