It was a 'failure' to collect the taxes in so much as, to this point, nobody had the stones to try to push the issue. The US Supreme Court in 1994 found that states could collect taxes on reservation sales. The New York court found that the state didn't have the proper regulations or legislation in place to proceed with this collection, but could do so if they created the necessary constructs. The legislature approved this months ago, but the governor kept this hot potato at arm's length until now. Given that there are also gasoline and sales tax issues, regardless of opinions on civil rights, treaties, or personal responsibility, that's a buttload of money and a juicy diversion.

http://www.buffalonews.com/home/story/410434.html
http://www.nowpublic.com/world/nyc-sues-indian-reservation-over-tax-free...

This is a very disappointing day, the revenue and the diversion, as Russ pointed are very large....and they sold out the treaties to get to them.

These treaties aren't just legal agreements and contracts (although breaking them is a violation thereof), they are SACRED documents, with both governments placing their ultimate trust in God. American Indians have been once again used as a political punching bag.

Full disclosure: I'm half Native American, although not Seneca or in anyway affiliated with the Six Nations.

I hope Gov. Paterson is planning on a large overtime budget for the State Police. The last time this tax collection was tried in the 90's, the troopers worked 12 hours on and 12 off. The overtime costs were huge.

As I understand the legislation from the news reports, its designed to deny wholesalers the option to sell to merchants who don't prove they are collecting or intend to collect the taxes on cigarettes. Rather than retroactive tax collection, it appears it cuts off the supply. The onus is on wholesalers to enforce the law before product is sold. It would seem to me that this would substantially lower the amount of cigarettes sold in the sovereign territories and shift sales to more of the non-Native establishments. While it might lower the estimated take from the targeted stores, it probably would just spread it out amongst stores that are already collecting and paying tax, making the collection much simpler. Of course, there is the matter of the courts, but this has already been extensively litigated and almost all past decisions have found for the states.

Protests could occur, but the climate today is probably a lot less sympathetic than in the past.

From what i know. Back 2-3 hundred years ago the indian people lived here as they probably did for many years befor that.Then the big ships come from across the horizon and the people get on the land and start possessing pieces of land as their property
Fast forward to the early 1800s.The american government has a need to expand west past the Mississippi to the Pacific.We put these indian people on reservations and those that don't comply we just slaughter.Everyone that reads this-knows it's true.
Modern day indians-theres a reservation locally here called the tonawanda indian reservation.did anyone ever think how nice it was to put the native americans in this swamp land.yes we didn't give them the cream of the crop land next to the lake. We give them the wettest, most useless stake we could have them settle with.
I just feel that we have murdered them in the past and now we are taking away their forms of making money.Am I to think that our shortfalls in our budget has to be paid for by the indian people.So if we eliminate their revenue with our taxes and these people have less of a chance to make good livings. What will happen in twenty years when these people need to use our welfare system.Because lets face the facts here in America.THE RICH ARE GETTING RICHES AND THE POOR ARE JUST SURVIVING
Anyways in my opinion-Just leave the Indians alone and let them make good for themselves

Native people have only one thing to attract customers to their stores, lower prices. I have to agree with Douglas, how much do we have to take from these people? In an age when the government is bailing out failed businesses, why is it necessary to put native people on the unemployment line for being successful? It’s their land and they have every right to run their nation as they see fit.

Whats that smell ? burning Tires ?

I was at several locations on the "REZ" today and their sentiment about thedeal is ho-hum. Surely they had long fought battles with Pataki and other skirmages here and there.
The fear of "one who dont see well" imposing breaks with the treaties in place will only cause them to fight back, but it will affect the surrounding home town people whom rely on their low priced sin. I can see taxing gambling more. Heck thats smarter. The Native Americans are still laffing all the way to the bank with that one.
I just find it ironic that the Native Americans are now finally giving us a taste of our own "bad medicine" and complaining about our speaking with "forked tongue".
Maybe its just me.

This is a bit ridiculous that taxes are being collected on indian reservations considering the land was taken from them and they were put on reservations. They should get a tax lawyer or any lawyer to sue the state in my opinion.