Laws regarding cigar rolling at fairs, etc.

[Galcedor]

I'm pretty new to the hobby, but I am getting a lot of practice, and, as word has gotten out in my community that we now have a "cigar-roller guy", I have been asked if I would be interested in setting up a table at local fairs, etc. and other charity and even for-profit ventures to add some variety to the vendor show. I would not do this until some time down the road, but I wanted to look into things anyhow.

I live in North-Eastern Illinois, and I did some digging around to see if there any laws or licenses that I would need to get to make sure that I am square with the Law, but I really couldn't find much of anything specific.

Is there a resource for this, kind of a one-stop shop? I really would never even consider doing this unless I knew it was ok with regard to state and federal law, etc. I understand about paying sales tax to the state, etc., but is there anything else in the way of licensing/stamping, etc, or is that just for cigarettes?

All help would be appreciated.

 

[FmGrowit]

If you're in Cook county, you're screwed, otherwise, I'd suggest you talk to your state excise tax department (every state calls it something different). You'll find state regs more lax than fed regs. You might get the states blessing as long as they get their "fair share" of the moolah.

Last I checked...the federal license to manufacture cigars was only $500, but it will take you a year to get the license. On top of the license, you have to post a $5000 bond which covers the federal tax on the first 10,000 cigars you make/sell. In the event you don't make/sell 10,000 cigars, the balance of the bond is NOT refundable.

They really should go back to selling tax stamps at the post office.

 

[forumdotabaco]

compared to Europe that's easy and cheap, here to start anything you will need almost a million.

 

[webmost]

Last I checked...the federal license to manufacture cigars was only $500, but it will take you a year to get the license. On top of the license, you have to post a $5000 bond which covers the federal tax on the first 10,000 cigars you make/sell. In the event you don't make/sell 10,000 cigars, the balance of the bond is NOT refundable.

... and yet, there are rollers who travel round to every cigar shop for cigar events. I'm sure they aren't each plumping down five grand. Must be a loophole somewheres. I'd ask one of those guys.

 

[MarcL]

Look at it as entertainment. No different from balloon making. Make a contract for the venue with an amount for service rendered.

 

[Galcedor]

If you're in Cook county, you're screwed, otherwise, I'd suggest you talk to your state excise tax department (every state calls it something different). You'll find state regs more lax than fed regs. You might get the states blessing as long as they get their "fair share" of the moolah.

Last I checked...the federal license to manufacture cigars was only $500, but it will take you a year to get the license. On top of the license, you have to post a $5000 bond which covers the federal tax on the first 10,000 cigars you make/sell. In the event you don't make/sell 10,000 cigars, the balance of the bond is NOT refundable.

They really should go back to selling tax stamps at the post office.

Yeah, it is Cook County - do you know of some special law that they have here or something?

 

[Galcedor]

... and yet, there are rollers who travel round to every cigar shop for cigar events. I'm sure they aren't each plumping down five grand. Must be a loophole somewheres. I'd ask one of those guys.

This.

The cigar shop a few blocks away from me has a guy from "The 708 Cigar Company", which seems to be local (my first guess was that it was named after the 708 phone area code for Chicago suburbs), come out and roll cigars for people, however, I somehow doubt that he would be too forthcoming with info on how I could compete with him.

 

[FmGrowit]

Yeah, it is Cook County - do you know of some special law that they have here or something?

Cook county has some kind of county excise tax on tobacco products. I remember talking to a vendor out there a couple of years ago and I think he said it was something like 90% of the wholesale price.

I can assure you...manufacturing any tobacco product for commercial sales requires a federal license. If you're able to figure out who your TTB agent is, you might be able to talk to him/her and get their opinion as to what you want to do. If they tell you getting the state's approval is good enough, that would be a huge hurdle to overcome. You're safer dealing in dope than messing with the government's tobacco. Manufacturing without a license is a federal offense. Selling dope is a ordinance violation and you would very likely get zero jail time....the judge would probably ask if your stuff is any good and ask for your phone number.

 

[Chris A]

I'm from Illinois as well. I am convinced Al Capone still gets his cut.