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Last Updated: 8/28/2014

PACT Act

What is the PACT Act?

The federal Prevent All Cigarette Trafficking (PACT) Act imposed new registration and reporting requirements on anyone who advertises, sells, transfers or ships cigarettes into a state - including roll-your-own (RYO) and smokeless tobacco. 

The PACT Act became effective July 1, 2010. It amended the federal Jenkins Act, which governs state taxation and sales of tobacco products. View the law, Title 15 U.S.C., Section 375-378, at the GPO website.

What is required under the PACT Act?

Any "delivery seller" who advertises or ships cigarettes, RYO or smokeless tobacco into Minnesota must do both of the following:

  • Register with the U.S. Attorney General and with the Minnesota Department of Revenue. To do so, you can use the federal PACT Act Registration Form, available at the Bureau of Alcohol, Tobacco and Firearms website.
  • File sales reports with the department by the 10th day of each month. Your report must include the following information for each shipment made during the previous month:
    • Name and address of the person who received the shipment
    • Invoice information for the customer, including the brand and quantity of cigarettes, RYO tobacco and smokeless tobacco in the shipment
    • Name, address, and phone number of the person who delivered the shipment

You must submit monthly reports electronically on a CD or other digital media, in standard file formats such as a database file or Excel spreadsheet. 

What is a "delivery seller"?

A seller who delivers or ships cigarettes, RYO tobacco or smokeless tobacco to a consumer when any of the following is true: 

  • buyer isn't physically present when making their purchase, such as when they order by telephone, mail or Internet
  • order is delivered by common carrier or other delivery service
  • seller isn't physically present when the buyer takes possession of the order
Delivery sellers must comply with all applicable Minnesota laws, taxes and other requirements as if the sales occurred entirely in the state. This includes all state, local, tribal or other laws relating to the sale, distribution or delivery of cigarettes, RYO or smokeless tobacco.  

Can I be penalized if I don't comply with the PACT Act?

Yes. You could be subject to felony charges, fines and other civil penalties.