Posted by Carl Jones, Premier Catering on May 30, 1998 at 09:23:41 :
In Reply to: Sales Tax posted by Caroline on May 27, 1998 at 22:30:25 :
: Does anybody know any laws on Sales Tax when purchasing items other than food?
I believe you are speaking of items that YOU pay sales tax on, not what you
charge as the person below answered....
You pay sales tax on anything you are not directly resaling in the course of
doing business.... such as you dont pay sales tax on food, ingredients etc.... things you
will be resaling and collecting sales tax on....
You must pay tax on equipment, janitorial supplies...and things YOU use but dont resale.
Some places like Sam's Club and most suppliers charge you sales tax on disposable cups
plates, napkins... the way to get around that is start charging for these items...
i have a price list that show a price of .12 for disp. plates, cups, forks,etc
and .03 for napkins. If the client wants a single all inclusive bid, then i will say
12.97 (all inclusive) and list what that includes.... if you are audited by state revenue
you are able to show that you are resaling paper goods... this can work for charcoal, table
cloths.
Hope this helps
Carl