1. (1) General. Under s. 139.34 (4), Stats., a cigarette permit is not transferable to another person. This section clarifies when a new cigarette permit is required, as the result of an ownership or name change, or both.

2. (2) Ownership change.

   1. (a) When there is a change in ownership of a business, the new owner shall apply for a new permit using form CTP-129, except as provided in par. (c). The new owner shall notify the department not later than 10 days prior to the change.

      Note: Form CTP-129 is available on the department’s web site at www.revenue.wi.gov.

   2. (b) A new permit shall be obtained by using form CTP-129 when there is a change in ownership of a sole proprietorship, partnership, corporation or other form of ownership, except as provided in par. (c).

      Examples. A new permit is required if: 1) A sole proprietorship or partnership incorporates.

      2) A sole proprietorship is sold to a different sole proprietor.

      3) A sole proprietorship becomes a partnership.

      4) A partner in a partnership leaves the partnership or a partner is added to the partnership.

      5) The federal employer identification number of a business changes.

   3. (c) A new permit is not required for a change in the ownership of a corporation unless either of the following occurs:

      1. 1. A corporation is merged with another corporation, the merged corporation ceases to exist, and the surviving corporation does not have a valid permit.
      2. 2. The federal employer identification number of a corporation changes.

3. (3) Name change.

   1. (a) A permittee shall notify the department of a name change at least 10 days prior to the change and the permittee shall retain the same permit number.

   2. (b) A rider, verifying the name change, such as one filed by a permittee’s insurance company at the request of the permittee, shall be submitted and attached to the security documents on file with the department. If no security is on file, or if a rider is not filed with the department, new security shall be deposited under the new name as required, and any old security shall be returned to the permittee.

      Note: Section Tax 9.68 interprets s. 139.34 (4), Stats.

History

History: Cr. Register, September, 1991, No. 429, eff. 10-1-91; am. (2) (b) and (3) (b), Register, August, 1996, No. 488, eff. 9-1-96.