Plain English Breakdown
The official source material does not provide specific details on how or when the law will be updated in the statutes, only that it eliminates an additional tax.
Removing Sales Tax on Meals
This act removes an extra 1% tax that was added to meals bought from restaurants, caterers, and grocery stores.
What This Bill Does
- Removes the additional one percent sales and use taxes imposed on meals sold by eating establishments like restaurants.
- Eliminates the same extra tax for catered meals and food sold in grocery stores.
Who It Names or Affects
- People who buy meals from restaurants, caterers, or grocery stores will no longer pay this additional one percent tax.
- Businesses that sell meals like restaurants, caterers, and grocery stores will no longer have to collect this extra tax.
Terms To Know
- Sales Tax
- A tax added to the price of goods or services when they are sold.
- Use Tax
- A tax that must be paid by people who use items in a state without paying sales tax on them, like buying something online and not paying local taxes.
Limits and Unknowns
- The bill does not specify when the changes will take effect.
- It only removes an extra one percent tax; other existing taxes still apply.