Cigarette Tax Revenue Stamps- Missing From Many Collections!
U.S. cigarette revenue stamps are "tax-paids," a phrase used when the denomination is expressed in units rather than money. Cigarettes were taxed at a rate per thousand. Rather than levying the tax on the farmer, the Internal Revenue Department charged the manufacturer who processed, blended, and added flavorings to the tobacco.
Cigarettes are classified based on weight per thousand. Class A cigarettes, which are the most common, weigh three pounds or less per thousand. The stamp would often be placed over a seal on the container, so that the stamp would be torn if the seal was broken.
In 1932, a series designation was inscribed on Cigarette Revenue stamps, with those issued labeled "102." The Series 102 was replaced by Series 103 in 1933, Series 104 in 1934, and so forth each year that followed. Accordingly, Series 124 Cigarette Revenue tax stamps were issued in 1954.