§245-39  Penalty exemptions; presumptions. (a) Sections 245-37 and 245-38 shall not apply to cigarettes that are exemptfrom taxes as provided by section 245-3(b).

(b)  No cigarette tax stamp shall be requiredto be paid upon cigarettes that are sold for personal use at sales outletsoperated under the regulations of the armed services of the United States;provided that it shall be unlawful for any person, including members of thearmed services of the United States, to purchase such tax-exempt cigarettes forpurposes of resale.  Any person who intentionally, knowingly, or recklesslyresells, or offers for resale, tax-exempt cigarettes purchased at sales outletsoperated under the regulations of the armed services of the United States shallbe guilty of a violation of this chapter, and punishable as provided in section245-37 or 245-38.  For purposes of this subsection, "person" meansone or more people, a company, corporation, a partnership, or any combinationof individuals.

(c)  Unless otherwise exempt from taxes by thischapter, it shall be presumed that all cigarettes are subject to the taximposed by this chapter, unless the contrary is established, and the burden ofproof that they are not taxable shall be upon the person having possession ofthem. [L 2000, c 249, pt of §1; am L 2001, c 270, §9]