Code-Co's Internet Access to Utah Law: http://www.code-co.com
[Utah Code Table of Contents]
[TITLE 59. Table of Contents]
59-19-101 Short title.
This chapter is known as the "Illegal Drug Stamp Tax Act."
1988
59-19-102 Definitions.
As used in this chapter:
(1) "Controlled substance" means any drug or substance, whether real or counterfeit, as defined in Section 58-37-2 , that is held, possessed, transported, transferred, sold, or offered to be sold in violation of Utah laws. It does not include marihuana.
(2) "Dealer" means a person who, in violation of Utah law, manufactures, produces, ships, transports, or imports into Utah or in any manner acquires or possesses more than 42-1/2 grams of marihuana, or seven or more grams of any controlled substance, or ten or more dosage units of any controlled substance which is not sold by weight.
(3) "Marihuana" means any marihuana, whether real or counterfeit,
as defined in Section
58-37-2
, that is held, possessed, transported, transferred,
sold, or offered to be sold in violation of Utah laws.
1988
59-19-103 Tax imposed on marihuana and controlled substances.
(1) A tax is imposed on marihuana and controlled substances as defined under this chapter at the following rates:
(a) on each gram of marihuana, or each portion of a gram, $3.50;
(b) on each gram of controlled substance, or each portion of a gram, $200; and
(c) on each 50 dosage units of a controlled substance that is not sold by weight, or portion thereof, $2,000.
(2) For the purpose of calculating the tax under this
chapter, a quantity of marihuana or other controlled substance
is measured by the weight of the substance, whether pure
or impure or dilute, or by dosage units when the substance
is not sold by weight, in the dealer's possession. A quantity
of a controlled substance is dilute if it consists of a detectable
quantity of pure controlled substance and any excipients
or fillers.
1988
59-19-104 Stamps evidencing tax paid to be provided and sold by the commission.
(1) The commission shall adopt a uniform system of providing, affixing, and displaying official stamps, official labels, or other official indicia for marihuana and controlled substances on which a tax is imposed.
(2) A dealer may not possess any marihuana or controlled substance upon which a tax is imposed by this chapter, unless the tax has been paid on the marihuana or other controlled substance as evidenced by a stamp or other official indicia.
(3) Official stamps, labels, or other indicia to be affixed
to all marihuana or controlled substances shall be purchased
from the commission. The purchaser shall pay 100% of face
value for each stamp, label, or other indicia at the time
of the purchase.
1988
59-19-105 Stamps to be affixed to marihuana and controlled substance - Anonymity provided when purchasing stamps - Collection and distribution of tax - Property in kind.
(1) When a dealer purchases, acquires, transports, or imports into this state marihuana or controlled substances, he shall permanently affix the official indicia on the marihuana or controlled substances evidencing the payment of the tax required under this chapter. A stamp or other official indicia may not be used more than once.
(2) Taxes imposed upon marihuana or controlled substances by this chapter are due and payable immediately upon acquisition or possession in this state by a dealer.
(3) Payments required by this chapter shall be made to the commission on forms provided by the commission.
(4) (a) A dealer is not required to give his name, address, Social Security number, or other identifying information on the form.
(b) The commission or its employees may not reveal any facts contained in any report, form, or return required by this chapter or any information obtained from a dealer.
(c) None of the information contained in a report, form, or return or otherwise obtained from a dealer in connection with this section may be used against the dealer in any criminal proceeding unless it is independently obtained, except in connection with a proceeding involving taxes due under this chapter from the dealer making the return. This subsection supersedes any provision to the contrary.
(d) A person who discloses information in violation of this subsection is guilty of a class A misdemeanor.
(5) This section does not prohibit the commission from publishing statistics that do not disclose the identity of a dealer or the actual contents of any reports, forms, or returns.
(6) (a) The commission shall collect all taxes imposed under this chapter. Amounts collected under this chapter, whether characterized as taxes, interest, or penalties, shall be deposited in the Drug Stamp Tax Fund as a dedicated credit and shall be applied and distributed under Section 63-38-9 of the Budgetary Procedures Act as follows:
(i) forty percent to the commission for administrative costs of recovery; and
(ii) sixty percent to the law enforcement agency conducting the controlled substance investigation, to be used and applied by the agency in the continued enforcement of controlled substance laws.
(b) If there is more than one participating law enforcement agency, the 60% under Subsection (6)(a)(ii) shall be divided equitably and distributed among the agencies by the administrative law judge conducting the hearing to determine taxpayer liability. The distribution shall be based upon the extent of agency participation as appears from evidence submitted by each agency relative to actual time and expense incurred in the investigation.
(c) If no law enforcement agency is involved in the collection of a specific amount under this chapter, the entire amount collected shall be applied under Subsection (6)(a)(i) to administrative costs of recovery.
(7) (a) If property in kind obtained from the taxpayer is of use or benefit to the commission in the enforcement of this chapter or is of use or benefit to the participating law enforcement agency in the continued enforcement of controlled substance laws, either the commission or the law enforcement agency may apply to the administrative law judge for the award of the property. If the administrative law judge finds the property is of use or benefit either to the commission or the law enforcement agency, the property shall be awarded accordingly.
(b) Before an award under this subsection is ordered, the property shall be appraised by a court-appointed appraiser and the appraised value shall be credited to the taxpayer. If the taxpayer objects to the results of the court-appointed appraisal, he may obtain his own appraisal at his own expense within ten days of the court-appointed appraisal. The decision of the administrative law judge as to value is controlling.
(c) The value of any property in kind awarded to the commission or to the participating law enforcement agency shall be counted as a portion of its percentage share under Subsection (6).
(8) Property of the taxpayer otherwise subject to forfeiture
under Section
58-37-13
is not affected by this chapter if there is
compliance with Section
58-37-13
regarding the forfeiture and the proceeds and
property seized and forfeited are accordingly divided and
distributed.
1989
59-19-106 Civil penalty - Criminal penalty - Statute of limitations - Burden of proof.
(1) Any dealer violating this chapter is subject to a penalty of 100% of the tax in addition to the tax imposed by Section 59-19-103 . The penalty shall be collected as part of the tax.
(2) In addition to the tax penalty imposed, a dealer distributing or possessing marihuana or controlled substances without affixing the appropriate stamps, labels, or other indicia is guilty of a third degree felony.
(3) An information, indictment, or complaint may be filed upon any criminal offense under this chapter within six years after the commission of the offense. This subsection supersedes any provisions to the contrary.
(4) Any tax and penalties assessed by the commission are
presumed to be valid and correct. The burden is on the taxpayer
to show their incorrectness or invalidity.
1989
59-19-107 Commission to administer tax - No criminal immunity for dealers.
(1) The commission shall administer this chapter and may adopt rules necessary to enforce this chapter.
(2) Nothing in this chapter requires persons lawfully in possession of marihuana or a controlled substance to pay the tax required under this chapter.
(3) Nothing in this chapter provides immunity of any kind
for a dealer from criminal prosecution under Utah law.
1988
