HTN: Clock Ticking on Indian Taxes

Governor David Paterson now has just ten days to decide what to do about collecting cigarette taxes from Indian reservations. The State Assembly has sent the Governor a bill which requires the state to start collecting the money. The measure was passed back in August, but lawmakers held on to it so the Governor could have more time to try and negotiate a deal with the tribes. Now the clock is ticking on the bill that would effectively cut off the supply of cigarettes to Indian smoke shops if they refuse to pay taxes on sales to non-Native-Americans. The state is attempting to find ways to increase revenue to fill huge budget gaps, but the tribes say treaties dating back hundreds of years exempt them from paying.