Sales taxes?
April 13th, 2010 | 
Author: why do you think sales taxes are applied to food and beverages purchased at restaurants , but not food and beverages purchased at grocery stores. someone please answer
why do you think sales taxes are applied to food and beverages purchased at restaurants , but not food and beverages purchased at grocery stores. someone please answer
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It is thought that to tax grocery items would be a hardship on the poor, and if you can afford to eat out, you can afford the tax.
It has to do with your local regulations for taxation of immediate consumption goods. Every locality varies on this. It can be very politically motivated: taxes = revenue for your district.
Actually a few states do tax groceries.
General groceries are not taxed because they are not discretionary. Eating out is.
Grocieries are not taxed because they are not considered prepared food. However some states do charge a small tax of 1% on food but reduce that tax for those recieving food stamps. Also, gas station charge tax on sodas and snack because they are not considered a grocery store.