Sales Tax Restraining Order Extended

U.S. District Court Judge Richard Arcara has extended the Seneca and Cayuga Nations' temporary restraining order against New York State sales taxes on cigarettes indefinitely.

In making his ruling, Arcara expressed concern over the impact the taxes would have on Native American businesses, and over the possibility of violent protests, if they are enforced.

But in a separate order, Arcara threw out some of the arguments that the tribes have been making against the tax, saying he isn't convinced that the state's plan to collect taxes on cigarette sales to non-Indian customers would be a violation of tribal sovereignty.

The Senecas and Cayugas have already told Arcara they will appeal the second ruling.

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