Sale Tax in California When Eating Out

[almaty 19]

i agree..the system needs an overhaul....

No, it doesn't. I'll translate "overhaul" for you from Congress-speak to English:

"tax system overhaul" = "stick it to the tax payer"

thanks brother MA..i always learn from you as i am naive and you are correct..any chance, and the tax payer gets it in the azz

[Nancy2015 2]

When you go to Europe as a tourist (well, not all the countries there, but definitely Austria, and I guess, some other countries too), shop like there's no tomorrow and buy a lot of stuff, they give you a "tax-free" form to fill out, and when you leave, you get the money that you paid in sales tax back at the Customs. They figure, if you don't live there, you shouldn't pay the sales tax. In the U.S. you don't get anything back even if you don't live here - my mom was really unprepared for that when she visited last year.

It has nothing to do with the topic though, except for the words "sales tax".

I actually don't think California sux. I think taxes here are not that high at all.

[one...two...tree 2,762]

When you go to Europe as a tourist (well, not all the countries there, but definitely Austria, and I guess, some other countries too), shop like there's no tomorrow and buy a lot of stuff, they give you a "tax-free" form to fill out, and when you leave, you get the money that you paid in sales tax back at the Customs. They figure, if you don't live there, you shouldn't pay the sales tax. In the U.S. you don't get anything back even if you don't live here - my mom was really unprepared for that when she visited last year.

It has nothing to do with the topic though, except for the words "sales tax".

I actually don't think California sux. I think taxes here are not that high at all.

I heard about that...very interesting.

Also, in the same vein, there's no sales tax for online shopping.

[Jenn! 918]

When you go to Europe as a tourist (well, not all the countries there, but definitely Austria, and I guess, some other countries too), shop like there's no tomorrow and buy a lot of stuff, they give you a "tax-free" form to fill out, and when you leave, you get the money that you paid in sales tax back at the Customs. They figure, if you don't live there, you shouldn't pay the sales tax. In the U.S. you don't get anything back even if you don't live here - my mom was really unprepared for that when she visited last year.

It has nothing to do with the topic though, except for the words "sales tax".

That's actually one thing about the Fair Tax that should appeal to many. Everyone, including non-USC's, would have to pay it. That would mean that illegal immigrants would be fully taxed plus they wouldn't get the prebate.

[peejay 327]

When you go to Europe as a tourist (well, not all the countries there, but definitely Austria, and I guess, some other countries too), shop like there's no tomorrow and buy a lot of stuff, they give you a "tax-free" form to fill out, and when you leave, you get the money that you paid in sales tax back at the Customs. They figure, if you don't live there, you shouldn't pay the sales tax. In the U.S. you don't get anything back even if you don't live here - my mom was really unprepared for that when she visited last year.

It has nothing to do with the topic though, except for the words "sales tax".

I actually don't think California sux. I think taxes here are not that high at all.

I heard about that...very interesting.

Also, in the same vein, there's no sales tax for online shopping.

Actually there is. You are supposed to "voluntarily" pay state sales tax in some states for online purchases. Most people wouldn't even know who, what, or where to pay. And since Big Brother doesn't come knocking on front doors or pursue it...SURPRISE...nobody in their right mind pays the tax. Why bother?

In the same vein...some states have sales tax rebates for non-residents. However...in most cases you have to jump through hoops of fire to get them and there is a minimum. Like you have to buy a battleship to qualify.

Most people don't give a ####### and just pay whatever at the register.

[mawilson 2,133]

In the U.S. you don't get anything back even if you don't live here - my mom was really unprepared for that when she visited last year.

Then again, the VAT in Europe is 17-25% - while the sales tax in the U.S. varies from 0% (New Hampshire, Alaska) to 6-9% (in most states.)

[Natsman 0]

Is it 8.5% where you are? It's 8.25% here in our boonies. Not that it makes any difference.

We always order our food to go, so it hasn't been that big of an issue...

Bwhahaha...it is 20% where I'm from lol

[one...two...tree 2,762]

One of my colleagues here at work just sent me this...

In California, some food is taxed and some is exempt from tax. Restaurant bills are taxed, as is ready-to-eat hot food sold by supermarkets and similar vendors. As an exception, hot beverages and bakery items are tax-exempt if and only if they are for take-out and are not sold with any other hot food; if consumed on the seller's premises such items are taxed like restaurant meals. All other food is exempt from sales tax.

Talk about a confusing tax code and leaving it up to the merchants to figure out when to charge tax.

For example, I'd assume this means that if I order a hot sandwich at Subway, I'm taxed even if it's take-out, but if I order a cold sandwich to-go, there's no tax.

[AnaAndDaniel 0]

One of my colleagues here at work just sent me this...

In California, some food is taxed and some is exempt from tax. Restaurant bills are taxed, as is ready-to-eat hot food sold by supermarkets and similar vendors. As an exception, hot beverages and bakery items are tax-exempt if and only if they are for take-out and are not sold with any other hot food; if consumed on the seller's premises such items are taxed like restaurant meals. All other food is exempt from sales tax.

Talk about a confusing tax code and leaving it up to the merchants to figure out when to charge tax.

For example, I'd assume this means that if I order a hot sandwich at Subway, I'm taxed even if it's take-out, but if I order a cold sandwich to-go, there's no tax.

that is why the retailers purchase tax software. no thinking involved.

Daniel

:energetic:

[mawilson 2,133]

Why is takeout food not taxed?

If anything, restaurants should be exempt because you already pay more

for the same meal if you eat it in the restaurant.

[one...two...tree 2,762]

Why is takeout food not taxed?

If anything, restaurants should be exempt because you already pay more

for the same meal if you eat it in the restaurant.

I think it's because we are not taxed for foods sold in supermarkets, but many of them offer ready-to-eat foods, creating a blurry line between what food is taxed and which ones aren't.

[AnaAndDaniel 0]

Why is takeout food not taxed?

If anything, restaurants should be exempt because you already pay more

for the same meal if you eat it in the restaurant.

I think it's because we are not taxed for foods sold in supermarkets, but many of them offer ready-to-eat foods, creating a blurry line between what food is taxed and which ones aren't.

yeah, it is mucked up. but the basic premise is "raw" food is a necessity(thus not taxable); prepared food is not (thus taxable).

Daniel

:energetic:

[mawilson 2,133]

yeah, it is mucked up. but the basic premise is "raw" food is a necessity(thus not taxable); prepared food is not (thus taxable).

Ok - so again I ask, why is takeout food (which falls under the category of "prepared food")

non taxable?

[AnaAndDaniel 0]

yeah, it is mucked up. but the basic premise is "raw" food is a necessity(thus not taxable); prepared food is not (thus taxable).

Ok - so again I ask, why is takeout food (which falls under the category of "prepared food")

non taxable?

refer to part in red.

Daniel

:energetic:

[Jenn! 918]

yeah, it is mucked up. but the basic premise is "raw" food is a necessity(thus not taxable); prepared food is not (thus taxable).

Ok - so again I ask, why is takeout food (which falls under the category of "prepared food")

non taxable?

I thought it said that it is taxable with the exception of hot beverages and bakery items.

Or is that only if they are sold in a grocery store? Geez, it is confusing.

Edited September 20, 2007 by Jenn!