Food tax off tomorrow -- July 1, 2006

[Danl]

Food tax off tomorrow


By Noah Brenner
Date: June, 30, 2006

Beginning tomorrow, local grocery bills will be six percent cheaper.

A suspension of Wyoming?s sales tax on food passed in the last legislative session goes into effect July 1.? The suspension will put almost $250 annually back into the pocket of the average family of four. . . . .

For more click below
http://www.jhguide.com/article.php?art_id=633

[Jared]

An article I read had some interesting comparisons:
- gum and mints will be exempt, but listerine-type strips and breath spray won't be, since they're for hygeine not consumption.
- when you're in a cafe, if you order a croissant 'to go' it shouldn't be taxed, but if you eat it on-site it will be.

And it's only a '2 year' window ... didn't read far enough to determine why.  Maybe it's a test run and they'll re-evaluate?


p.s. other thread re: this issue:
http://www.fundamentalsoffreedom.com/fswforum//index.php?topic=1861.0

[manfromnevada]

Danl said:
The suspension will put almost $250 annually back into the pocket of the average family of four. . . . .

If this was a newspaper report it probably would have been stated as: "The suspension will result in the loss of X hundred million dollars to fund schools, fire departments, and other critical public works . . ."

This whole exemption thing can be terribly complicated as Jared stated. In NV, it's simple, NO food is taxed, but in CA it's complicated: Juice: not taxed, punch: taxed; milk: not taxed, soda: taxed; candy: taxed, energy bars: not taxed. BTW, in both states any food sold below room temperature is NOT taxed, but above room temperature IS taxed. So a take out pizza from Pizza Hut IS taxed, but a custom prepared pizza at Pappa Murphy's is not taxed since it is to be cooked at home.

Only the government could come up with such a scheme. THEY decide what is a "wholesome" food and give a tax break.
What's the old saying? "That which the government cannot do thru law they can do thru taxes"?

Mac

[Paul Bonneau]

And it's only a '2 year' window ... didn't read far enough to determine why.  Maybe it's a test run and they'll re-evaluate?

Because people in government don't like tax cuts, plain and simple. I suspect attaching the sunset was the only way they could get enough votes to pass the thing.

Of course when they passed the general sales tax hike back in the early '90's (from 3% to 4% as a "temporary" emergency measure), they didn't see the need to put a sunset on that.

The fact is, there is a much superior way to do a tax cut than this thing on food: roll back that early '90's hike. In fact there was a bill in the legislature to do just that. But any time most legislators have a choice between one that is plain and simple, and one that can generate some more bureaucratic jobs, control, and social engineering, they will (as a rule) always pick the latter.

Most Wyomingites seem content to let the foxes guard the henhouse. We need some political hell-raisers in that state.

[Danl]

We need some political hell-raisers in that state.

Yup,
Danl

[manfromnevada]

Regarding food tax . . .
I'm out here in the People's Republik of Kalifornina for a couple of weeks. 
Just went to the store to buy some cans of soda. Four 12 packs for $10. Great deal. The usual holiday special.
In NV I give the cashier $10 and walk out.
In CA the total bill came to $12.96, just about $13! That's a 30% premium to the gov't! 
Why? Well there's $0.48 per 12 pack for CRV (California Recycling Value) and then there's the 8.75% sales tax on "non-essential" food items.
Oh, and would you believe that the Kalifornia income tax code requires that you count any income derived from recycling of containers as taxable income?

So let's see if I have this right: first they take your money, then they give it back if you haul stinky cans to the nearest recycling center, then they tax you on the money they give back to you which was already taxed once when you earned it in the first place! Anyone venture a guess as to why I don't live here anymore? (beside the fact that you can't own an AK47, AR15, HK91, M1A with a flash suppressor, or ANY .50 caliber gun)

Mac

[koreyej]

Wow, in Iowa, we have the goofy food tax, too, but not as goofy as Calif. If it's prepared, it's taxed (service included).  If it's cold, it's not taxed. This includes heating up your sandwich in the gas station microwave. If you take your sandwich hot, the store must tax it. If you take it cold, they don't. Ok, maybe it is as goofy.

 We are also charged a deposit on cans, which encourages us to keep those nasty things and haul them back to recycle. As far as I know, though, we don't have to report that on our taxes. You can, however, itemize your lottery tickets. Any non-winners are a deduction, as a form of "voluntary" tax, I suppose.

If only these legislators could use their creative thinking skills for good, instead of evil...

[Paul Bonneau]

Maybe you folks start to see why I was not so thrilled with the tax cut on food, compared to a simple overall tax cut. It can get pretty silly.

We have pop can recycling in Oregon too. The state Ministry of Propaganda (Oregonian newspaper) is always going on about the "bottle bill" passed in the '70's, as it that was the height of environmental correctness.  Means I have to dedicate a part of the garage to storing cans, that I can't crush. Also means the larger stores have to have big can reading/crushing machines.

When I was a kid, cans got recycled too. Except no government was involved. It was just kids picking up cans and here and there in the roadside ditches for the change, that we would then use to buy stuff. My old aunt back in Wisconsin may still do it. She used to forage under the bleachers during football games getting cans, or ride on her bicycle with a garbage bag, picking them up. Then she'd put them on the driveway and flatten them with the school bus (which she drove for a living). Made a fair amount of money that way, even if it is a bit unusual. But then, she is an unusual person. 

[Jared]

There's already a petition to keep the cut permanent ... saw it in the paper this morning.