BBs Corner, the roll-your-own cigarette shop on the corner of 18th Avenue and New Utrecht Avenue, has been shut down by the states attorney general for tax evasion.
Attorney General Eric Schneiderman and New York City Corporation Counsel Michael Cardozo announced on August 9 that the lawsuit the city had brought against BBs Corner, as well as Nitecap Entertainment in Staten Island, had been settled. The owners of both shops agreed to stop their roll-your-own business permanently and must pay a combined penalty of $15,000 to the city and the state.
The suit states that the businesses avoided cigarette taxes by allowing customers to make their own smokes using loose tobacco, tubes of rolling paper and machinery they provided. Using this do-it-yourself method, the equivalent of a carton of cigarettes could cost as little as $29.95.
No one is above the law when it comes to paying taxes. These cigarette shops thought they could skirt the law by pretending not to sell cigarettes, when in fact that’s exactly what they were doing, saidSchneiderman. It is well-established that cheap cigarettes attract young smokers, and that smokers who pick up the habit when they are young have a far more difficult time quitting later on.
The aggressive approach taken by the city and state toward the two shops, he added, sends a clear message to those who try to evade the rules: my office will aggressively enforce the laws of this state and protect consumers.
Cardozo added, These stores were designed as a way around important public health measures. They also hurt tax-paying, law-abidingNew York City businesses. Themayor’s efforts have now succeeded in closing down all of these illegal businesses. We intend to continue our efforts to eliminate the illegal tobacco trade in all forms.