SB1106 - 452R - House Bill Summary

House of Representatives

SB 1106

food tax; definition; clarification

Sponsor: Sen. Bundgaard

X	Committee on Ways and Means
	Caucus and COW
	Third Read
	As Passed the House

SB 1106 excludes prepackaged sandwiches purchased for home consumption that are not prepared simultaneously with the consumer’s order from transaction privilege tax (TPT), by clarifying the meaning of “cold sandwiches” in statute.

History

Current statute exempts from TPT food not meant to be consumed on the premises it was purchased. Currently, “cold sandwiches” is undefined. This bill clarifies which types of "cold sandwiches" are eligible for the TPT exemption. According to the Department of Revenue (DOR), this bill constitutes a slight expansion of the current TPT exemption. It will eliminate a few pending audits with DOR.

SB 1106 excludes prepackaged sandwiches purchased for home consumption that are not prepared at the same time of the consumer’s order from TPT. According to the Joint Legislative Budget Committee, the fiscal impact of this bill cannot be determined, but is probably minimal.

A fiscal note has been prepared on this bill.

Provisions

· Exempts from TPT any prepackaged sandwiches intended for home consumption that are not prepared or modified simultaneously with the consumer’s order.

· Makes technical changes.

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· 45th Legislature