§ 646.143 Meaning of terms.

  1. When used in this part, terms are defined as follows in this section. Words in the plural shall include the singular, and vice versa. Words indicating the masculine gender shall include the feminine. The terms “includes” and “including” do not exclude other things not named which are in the same general class or are otherwise within the scope of the term defined.

  2. Appropriate ATF officer. An officer or employee of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) authorized to perform any functions relating to the administration or enforcement of this part by ATF Order 1130.28, Delegation of the Director's Authorities in 27 CFR Parts 45 and 646.

  3. Business premises. When used with respect to a distributor, the property on which the cigarettes are kept or stored. The business premises includes the property where the records of a distributor are kept.

    When used with respect to persons who sell cigarettes or smokeless tobacco, the property on which the cigarettes or smokeless tobacco are kept or stored. The business premises include the property where distributors keep their cigarette and smokeless-tobacco records.

  4. Cigarette.

    1. a.(a) Any roll of tobacco wrapped in paper or in any substance not containing tobacco; and

    2. b.(b) Any roll of tobacco wrapped in any substance containing tobacco which, because of its appearance, the type of tobacco used in the filler, or its packaging and labeling, is likely to be offered to, or purchased by, consumers as a cigarette described in paragraph (a) of this definition.

  5. Common or contract carrier. A carrier holding a certificate of convenience and necessity, a permit for contract carrier by motor vehicle, or other valid operating authority under the Interstate Commerce Act, or under equivalent operating authority from a regulatory agency of the United States or of any State.

  6. Contraband cigarettes. Any quantity of cigarettes in excess of 60,000, if—

    Any quantity of cigarettes in excess of 10,000, if:

    1. a.(a) The cigarettes bear no evidence of the payment of applicable State cigarette taxes in the State where the cigarettes are found;

      a.(a) The cigarettes bear no evidence that applicable state or local cigarette taxes in the state or locality where such cigarettes are found has been paid;

    2. b.(b) The State in which the cigarettes are found requires a stamp, impression, or other indication to be placed on packages or other containers of cigarettes to evidence payment of cigarette taxes; and

      b.(b) The state or local government in which the cigarettes are found requires a stamp, impression, or other indication to be placed on packages or other containers of cigarettes to evidence payment of cigarette taxes; and

    3. c.(c) The cigarettes are in the possession of any person other than an exempted person.

      c.(c) The cigarettes are possessed by any person other than an exempted person. Contraband smokeless tobacco. Any quantity of smokeless tobacco in excess of 500 single-unit consumer-sized cans or packages, or their equivalent, that any person other than an exempted person possesses.

  7. Delivery sale. Any sale of cigarettes or smokeless tobacco in interstate commerce to a consumer if —

    1. a.(a) The consumer submits the order for such sale by means of a telephone or other method of voice transmission, mail, the internet or other online service, or by any other means in which the consumer is not in the same physical location as the seller when the purchase or sales offer occurs; or

    2. b.(b) The cigarettes or smokeless tobacco are delivered through mail, common carrier, private delivery service, or any other means in which the consumer is not in the same physical location as the seller when the consumer physically obtains possession of the cigarettes or smokeless tobacco.

  8. Disposition. The movement of cigarettes from a person's business premises, wherever situated, by shipment or other means of distribution.

    The movement of cigarettes or smokeless tobacco from a person’s business premises, wherever situated, by distribution.

  9. Distribute. To sell, ship, issue, give, transfer, or otherwise dispose of.

  10. Distributor. Any person who distributes more than 60,000 cigarettes in a single transaction.

    Any person who distributes more than 10,000 cigarettes, or 500 single-unit consumer-sized cans or packages of smokeless tobacco, in a single transaction.

  11. Exempted person. Any person who is—

    1. a.(a) Holding a permit issued pursuant to Chapter 52 of the Internal Revenue Code of 1954 as a manufacturer of tobacco products or as an export warehouse proprietor;

      With respect to cigarettes in excess of 10,000, any person who is:

      1. 1.(1) Holding a permit issued pursuant to chapter 52 of the Internal Revenue Code of 1986 as a manufacturer of tobacco products or as an export warehouse proprietor;

      2. 2.(2) Operating a customs bonded warehouse pursuant to section 311 or section 555 of the Tariff Act of 1930 (19 U.S.C. 1311 or 1555);

      3. 3.(3) An agent of a tobacco products manufacturer, an export warehouse proprietor, or an operator of a customs bonded warehouse;

      4. 4.(4) A common or contract carrier transporting the cigarettes involved under a proper bill of lading or freight bill that states the cigarettes’ quantity, source, and destination;

      5. 5.(5) Licensed or otherwise authorized by the state in which the person possesses cigarettes to account for and pay cigarette taxes imposed by that state; and who has complied with the license or authorization’s accounting and payment requirements with respect to the cigarettes involved;

      6. 6.(6) An officer, employee, or other agent of the United States or a state, or any department, agency, or instrumentality of the United States or a state (including any political subdivision of a state) possessing cigarettes in connection with performing official duties; or

      7. 7.(7) Operating within a foreign-trade zone established under 19 U.S.C. 81b, when the cigarettes involved have been entered into the zone under zone-restricted status or, in respect to foreign cigarettes, have been admitted into the zone but have not been entered into the United States.

    2. b.(b) Operating a customs bonded warehouse pursuant to section 311 or 555 of the Tariff Act of 1930 (19 U.S.C. 1311 or 1555);

      b.(b) With respect to smokeless tobacco in excess of 500 single-unit consumer-sized cans or packages, any person who is:

      1. 1.(1) Holding a permit issued pursuant to chapter 52 of the Internal Revenue Code of 1986 as a tobacco products manufacturer or as an export warehouse proprietor;

      2. 2.(2) Operating a customs bonded warehouse pursuant to section 311 or section 555 of the Tariff Act of 1930 (19 U.S.C. 1311 or 1555);

      3. 3.(3) An agent of a tobacco products manufacturer, an export warehouse proprietor, or a customs bonded warehouse operator;

      4. 4.(4) A common or contract carrier transporting the smokeless tobacco under a proper bill of lading or freight bill that states the smokeless tobacco’s quantity, source, and destination;

      5. 5.(5) Licensed or otherwise authorized by the state in which the person possesses smokeless tobacco to account for and pays smokeless tobacco taxes imposed by that state; and who has complied with the license or authorization’s accounting and payment requirements with respect to the smokeless tobacco involved;

      6. 6.(6) An officer, employee, or agent of the United States or a state, or any department, agency, or instrumentality of the United States or a state (including any political subdivision of a state) possessing smokeless tobacco in connection with performing official duties; or

      7. 7.(7) Operating within a foreign-trade zone established under 19 U.S.C. 81b, when the smokeless tobacco involved has been entered into the zone under zone-restricted status or, in respect to foreign smokeless tobacco, has been admitted into the zone but has not been entered into the United States.

    3. c.(c) An agent of a tobacco products manufacturer, an export warehouse proprietor, or an operator of a customs bonded warehouse;

    4. d.(d) A common or contract carrier transporting the cigarettes involved under a proper bill of lading or freight bill which states the quantity, source, and destination of the cigarettes;

    5. e.(e) Licensed or otherwise authorized by the State, in which he possesses cigarettes, to account for and pay cigarette taxes imposed by that State; and who has complied with the accounting and payment requirements relating to his license or authorization with respect to the cigarettes involved; or

    6. f.(f) An agent of the United States, of an individual State, or of a political subdivision of a State and having possession of cigarettes in connection with the performance of official duties.

    7. g.(g) Operating within a foreign-trade zone established under 19 U.S.C., section 81b, when the cigarettes involved have been entered into the zone under zone-restricted status or, in respect to foreign cigarettes, have been admitted into the zone but have not been entered in the United States.

  12. Person. Any individual, corporation, company, association, firm, partnership, society, or joint stock company.

    Any individual, corporation, company, association, firm, partnership, society, or joint stock company. The term includes within the definition of “person” any business that operates at different locations that function under common control, as well as businesses that conduct commercial tobacco enterprises on tribal land.

  13. Retail purchaser. With reference to a particular cigarettes or smokeless tobacco sale, a consumer who purchases cigarettes or smokeless tobacco in a face-to-face transaction in which the consumer is physically present at the business premises of the person making the sale; makes the order directly to the seller without using a telephone, mail, the internet, other online service, or other means of remote communication; and who physically obtains possession of the cigarettes or smokeless tobacco in the same physical location as the seller, not by having the cigarettes or smokeless tobacco delivered by mail, common carrier, or private delivery service.

  14. Smokeless tobacco. Any finely cut, ground, powdered, or leaf tobacco that is intended to be placed in the oral or nasal cavity or otherwise consumed without being combusted.

  15. State. A State of the United States, the District of Columbia, the Commonwealth of Puerto Rico, or the Virgin Islands.