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By rdnewsNOW Staff

PROVINCIAL TAX VALUE: $1.7M

AGLC makes multiple contraband tobacco busts

Dec 9, 2024 | 4:59 PM

The Alberta Gaming Liquor and Cannabis’s (AGLC) Tobacco Enforcement Unit and its partnering law enforcement agencies shared Monday that they made three successful seizures in November.

In total, they found a combined 28,000 cartons of contraband cigarettes with a provincial tax avoidance value of about $1.7 million.

The seizures were made:

• In a Parkland County quonset — more than 9,900 cartons (nearly two million individual cigarettes) were seized, a retail value of $1.8 million with a tax avoidance tag of $596,000.
• In a north Edmonton dwelling — 9,800 cartons (more than 1.9 million individual cigarettes) of various brands of cigarettes were found. These had a retail value of $1.9 million with a tax avoidance of approximately $588,000.
• In a Calgary dwelling — nearly 9,000 cartons (approximately 1.8 million individual cigarettes) were seized. These had a retail value of about $1.4 million with a provincial tax avoidance of $538,000.

The AGLC says criminal charges are pending for all cases.

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“Contraband tobacco takes away significant provincial tax revenue that supports health care, public safety and essential services that all Albertans use on a day-to-day basis,” said Kandice Machado, AGLC CEO.

“These contraband investigations are part of AGLC’s continued commitment with our provincial partners to combat the rise of illegal tobacco and criminal activities in Alberta.”

The organization adds that these contraband products are illegally manufactured and pose health and safety risks as they lack regulatory controls and inspections.

Contraband tabacco is:

• any tobacco product that does not comply with federal and provincial laws related to importation, marking, manufacturing, stamping and payment of duties and taxes;
• comes from four main sources: illegal manufacturers, counterfeits, tax-exempt diversions and resale of stolen legal tobacco; and
• can be recognized by the absence of a red (Alberta) or peach/light tan (Canada) stamp bearing the “DUTY PAID CANADA DROIT ACQUITTÉ” on packages of cigarettes and cigars or pouches of tobacco.

Albertans who suspect illegal tobacco production, packaging and/or trafficking are encouraged to contact AGLC’s Tobacco Enforcement Unit at 1-800-577-2522 or Crime Stoppers at 1-800-222-TIPS (8477).

In 2023-24, provincial revenue from tobacco taxes was approximately $449 million, reports the AGLC.