White v. Schneiderman

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Because N.Y. Tax Law 471, which imposes requirements on Indian retailers located on reservation land to pre-pay the tax on cigarette sales to individuals who are not members of the Seneca Nation of Indians, does not operate as a direct tax on the retailers or upon members of the Seneca Nation, it does not conflict with either the Buffalo Creek Treaty of 1842 or N.Y. Indian Law 6. Plaintiffs brought this action seeking a declaration that Tax Law 471 is unconstitutional and a permanent injunction enjoining Defendants from enforcing the law against them. Supreme Court dismissed the complaint for failure to state a cause of action. The Appellate Division reinstated the complaint to the extent it sought a declaration and then granted judgment in favor of Defendants. The Court of Appeals affirmed, holding (1) Tax Law 471 does not constitute a tax on an Indian retailer; and (2) therefore, Tax Law 471 does not violate the plain language of the Treaty or Indian Law 6. View "White v. Schneiderman" on Justia Law