Flavor Tax Exemption Ends, but New Taxes Stopped

Flavor Tax Exemption Ends, but New Taxes Stopped

This year the Legislature was under extreme pressure to find more resources. Due to the McCleary decision squeezing the budget from every angle, many tax exemptions have sunset, and new taxes were instituted. However, the Hospitality Government Affairs team protected our industry from a 20 percent B&O tax increase, a new capital gains tax and a sweetened beverage syrup tax, which would have cost members thousands of dollars.

Among the exemptions to sunset is the sales and use tax exemption on wood chips, charcoal, briquettes, grapevines and grilling planks. The exemption was set to expire on July 1, 2017. Although bills that would have preserved the exemption did not pass, we are optimistic that this legislation will be considered again next year. For now, suppliers of these products need to pay the tax. For more information, contact Samantha Louderback.

Categories: Government Affairs