[Code of Federal Regulations]
[Title 7, Volume 10]
[Revised as of January 1, 2007]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR1463.7]

[Page 641]
 
                          TITLE 7--AGRICULTURE
 
  CHAPTER XIV--COMMODITY CREDIT CORPORATION, DEPARTMENT OF AGRICULTURE
 
PART 1463_2005	2014 TOBACCO TRANSITION PROGRAM--Table of Contents
 
                Subpart A_Tobacco Transition Assessments
 
Sec.  1463.7  Division of class assessment to individual entities.

    (a) In order to determine the assessment owed by an entity, that 
portion of the national assessment assigned to each class of tobacco 
will be further divided at the entity level. The amount of the 
assessment for each class of tobacco to be paid by each domestic 
manufacturer and importer of tobacco products will be determined by 
multiplying:
    (1) With respect to each class of tobacco, the adjusted market share 
of such manufacturer or importer; by
    (2) The total amount of the assessment for that class of tobacco for 
the calendar year quarter.
    (b) For purposes of determining the volume of domestic sales of each 
class of tobacco products and for each entity, such sales shall be based 
upon the reports filed by domestic manufacturers and importers of 
tobacco with the Department of Treasury and the Department of Homeland 
Security and shall correspond to the quantity of the tobacco product 
that is removed into domestic commerce by each such entity:
    (1) For cigarettes and cigars, on the number of cigarettes and 
cigars reported on such reports;
    (2) For all other classes of tobacco, on the number of pounds of 
those products.
    (c) In determining the adjusted market share of each manufacturer or 
importer of a class of tobacco products, except for cigars, CCC will 
determine to the fourth decimal place an entity's share of excise taxes 
paid of that class of tobacco product during the immediately prior 
calendar year quarter. With respect to cigars, CCC will determine the 
adjusted market share for each manufacturer or importer of a class of 
tobacco products based on the number of such products removed into 
domestic commerce.
    (d) The amount of a quarterly assessment owed by a domestic 
manufacturer or importer of tobacco products that must be remitted to 
CCC by the end of a calendar year quarter is based upon the application 
of the manufacturer's or importer's adjusted market share to the amount 
of the national assessment that has been allocated to one of the six 
specified tobacco product sectors under Sec.  1463.5. As provided in 
Sec.  1463.3, this adjusted market share is determined by the actions of 
such manufacturer or importer in a prior calendar year quarter. 
Accordingly, this amount must be remitted to CCC whether or not the 
manufacturer or importer is engaged in the removal of tobacco or tobacco 
products into commerce in the calendar year quarter in which it receives 
notification of the amount of assessment owed to CCC.

[70 FR 7011, Feb. 10, 2005, as amended at 70 FR 17158, Apr. 4, 2005]