§ 12-304

# (a)

A manufacturer that pays the tobacco tax shall indicate prominently on each package of cigarettes that:

# (1)

the package contains sample cigarettes that are not for sale; and

# (2)

all applicable tobacco taxes on those cigarettes have been paid.

# (b)

# (1)

Except as provided in subsection (c) of this section, within 72 hours after receiving cigarettes in the State and before selling or attempting to sell the cigarettes, a licensed wholesaler who first possesses the cigarettes shall affix, to the smallest cigarette package, tax stamps:

(i) in a total amount that at least equals the tobacco tax due on the number of cigarettes in the package; and

(ii) in the manner that the Comptroller requires, including placing the tax stamps on the cigarette package so that the stamps are visible to a buyer.

# (2)

If a tax stamp has been affixed to a package of cigarettes, a person may not affix the same tax stamp to another package of cigarettes.

# (c)

A licensed wholesaler is not required to affix tax stamps to:

# (1)

sample cigarettes if the cigarette package is marked in accordance with subsection (a) of this section; or

# (2)

cigarettes that are segregated or marked to indicate that the cigarettes:

(i) were received within the immediately preceding 72 hours; or

(ii) are being held for a sale or use that is exempt under this title.

# (d)

# (1)

Except as provided in subsection (c)(2) of this section, a rebuttable presumption exists that any unstamped cigarettes in the possession of a licensed wholesaler are possessed in violation of this title.

# (2)

The licensed wholesaler who possesses unstamped cigarettes has the burden of proving that the cigarettes are not possessed in violation of this title.