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State court lifts order against Indian cigarette tax
Posted: 06.21.2011 at 4:22 PM
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ROCHESTER -- A New York state appeals court has lifted a temporary order preventing the state from taxing cigarettes sold by Indian tribes to non-Native customers.

The Appellate Division of state Supreme Court in Rochester took the action Tuesday.

The Seneca Indian Nation had asked the appeals court to extend the ban while it continues to challenge regulations adopted by state taxing officials.

Seneca President Robert Odawi Porter says the western New York tribe will shift from selling name-brand cigarettes to reservation-made cigarettes, which he says remain immune from the state's $4.35-per-pack tax.

The Oneida Indian Nation responded to the court ruling Tuesday, saying “Today's ruling has not changed the fact that our customers will continue to be able to purchase lower costs cigarette brands manufactured by the Nation in its own factory on Nation lands, like Niagara's, Bishop, Great Country and Cool Harbor. Other cigarette brands not manufactured on Oneida Nation homelands will also be available to our customers as long as current supply in our stores last.”

The court's one-page order denies the request for a preliminary injunction and vacates the temporary restraining order that's been in place since June 10.

Information from the Associated Press was used in this report.

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