Iowa Code 421B.9 – Sales outside ordinary channels of business — effect
Current as of: 2023 | Check for updates
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Terms Used In Iowa Code 421B.9
- Basic cost of cigarettes: shall mean whichever of one of the two following amounts is lower, less, in either case, all trade discounts and customary discounts for cash, plus one-half of the full face value of any stamps which may be required by any cigarette tax act of this state:a. See Iowa Code 421B.2
- Cigarettes: shall mean and include any roll for smoking, made wholly or in part of tobacco, irrespective of size or shape and whether or not such tobacco is flavored, adulterated or mixed with any other ingredient, the wrapper or cover of which is made of paper or any other substance or material except tobacco. See Iowa Code 421B.2
- Retailer: means any person who is engaged in this state in the business of selling, or offering to sell, cigarettes at retail. See Iowa Code 421B.2
- Sale: means any transfer, exchange, or barter, in any manner or by any means whatsoever, for a consideration, and includes and means all sales made by any person. See Iowa Code 453A.42
- Use: means the exercise of any right or power incidental to the ownership of tobacco products. See Iowa Code 453A.42
- Wholesaler: means and includes any person who acquires cigarettes for the purpose of sale to retailers or to other persons for resale, and who maintains an established place of business when any part of the business is the sale of cigarettes at wholesale to persons licensed under this chapter, and where at all times a stock of cigarettes is available to retailers for resale. See Iowa Code 421B.2
In establishing the basic cost of cigarettes to a wholesaler or a retailer, it shall not be permissible to use the invoice cost or the actual cost of any cigarettes purchased at a forced, bankrupt, or close out sale, or other sale outside of the ordinary channels of trade.