Roll your own tobacco wins NY state tax fight

Posted at: 06/25/2012 11:04 AM | Updated at: 06/25/2012 11:07 AM
By: AP

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ALBANY, N.Y. (AP) - A new player dealing in loose tobacco rolled in retail stores, but taxed far less than cigarettes, has won a battle in New York.          

A bill to tax loose tobacco rolled in stores at the same level as cigarettes passed the Democrat-led Assembly but never made it to the floor of the Republican-led Senate during the legislative session that ended last week.          

The difference in federal taxes between the roll-your-owns and prepackaged smokes is $20 a pound.          

Cartons of roll-your-owns, with 200 cigarettes, cost about $38, compared to $108 at a gas station across the street or $125 in New York City.          

The industry's biggest player, RYO Filling Station of Ohio, hired a lobbying firm run by former U.S. Sen. Alfonse D'Amato. State records show D'Amato met with Gov. Andrew Cuomo in February.

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