Pipe Smokers Intelligencer

Well, tobacco fans, I sincerely apologize for being AWOL lately.

It’s Christmas time, of course, and I’ve been busy earning a little extra do-re-mi.

In the meantime, I’ve noticed a couple of interesting things: a federal judge has enjoined the Tobacco Tax and Trade Bureau (TTB), and other such federal agencies (imagine that?) from harassing roll-your-own folks with machines in their place of business.

I’ll get back to that in a minute.

The second thing is that Kentucky, the nation’s largest burley tobacco producer, is going through a tough time because of drought and manmade issues.

Burley is not selling in some circles for what the tobacco farmer put into the crop. The giant cigarette firms, which are as bad as the federal government, have set prices that small tobacco farmers can’t live with. Like everything else in this nation, Big Tobacco is going out of the country to find cheaper sources of tobacco.

So, what does the enterprising farmer do? He finds other outlets for his tobacco. Perfectly Darwinian, if you ask me.

There was a time in the Deep South tobacco states when the tobacco patch meant extra money for the farm family. Like everything else, that is passing into history.

The Kentucky tobacco crop once produced up to $900 million. Today, that has dropped to $300 million, according to an Associated Press wire story.

You do the math.

Now, back to the TTB. Here’s what the TTB reported last month (sorry to be so late with this):

“On Monday, November 15, 2010, the United States District Court for the Northern District of Ohio temporarily enjoined the Department of the Treasury, the Alcohol and Tobacco Tax and Trade Bureau (TTB) and “their agents, servants, employees, successors, representatives and assigns, and all others in active concert and privet with them who receive actual notice” from enforcing the provisions of Chapter 52 of the Internal Revenue Code dealing with manufacturers of tobacco products against retailers who maintain commercial cigarette-making machines on their premises for use by consumers to facilitate the manufacturing of cigarettes, as interpreted in TTB Ruling 2010-04. The temporary restraining order (TRO) was extended on November 29, 2010, to the close of business on December 13, 2010. On December 13, 2010, the TRO was extended until the close of business on December 27, 2010, unless before that time the court further extends it or TTB consents to a longer extension.

“As a result of this TRO, TTB is not taking enforcement action at this time under the Internal Revenue Code of 1986 (IRC), relative to the TTB Ruling and all requirements set forth therein. TTB has alerted all Bureau employees of the TRO that, at this time, TTB is enjoined from enforcing the TTB Ruling or authorizing others to enforce the TTB Ruling. Please note that the TRO does not rescind the TTB Ruling, but restrains TTB from enforcing it. Accordingly, the TRO does not waive any valid tax liability or other IRC obligations that may arise during the pendency of this litigation and which would be resolved at such time as TTB is no longer subject to a court-ordered restraint or completion of the litigation.”
There you have the whole shebang. Briefly, if you are a retailer who allows customers to come in, purchase RYO, and then roll a cigarette, you are not breaking the laws.”

Sorry for all the boilerplate, but I thought I’d give you the real thing. This should also give you some idea of what tobacco retailers have to go through just to open and close their shops each business day.

As of now. Hang on. This, too, will change.