Rules & Regulations of the State of Tennessee
Title 1320 - Revenue
Subtitle 1320-04 - Miscellaneous Tax Division
Chapter 1320-04-03 - Unfair Cigarette Sales Law and Tobacco Tax Rules
Section 1320-04-03-.12 - MINIMUM SALES PRICE

(1) Minimum sales prices established by a wholesaler and/or a retailer in compliance with the provisions of T.C.A. §§ 47-25-301 through 47-25-312, shall apply to, as the case may be, a sale or offer for sale to or by any person, distributor, dealer, wholesaler, subjobber, or vending machine operator regardless of the quantity purchased. In establishing minimum selling price per carton of cigarettes at both wholesale and retail levels the statutory formula shall be applied to the basic cost, as defined in T.C.A. §§ 47-25-302. Minimum selling price of individual packages shall be determined by dividing the minimum carton selling price by the number of packages in a carton. Minimum selling prices so established shall be absolute minimum prices and the products may not be sold below such prices. Fractional cents may be advanced to the next highest cent but fractional cents, regardless of denomination, may not be lowered.