Did You Know...

   

Taxaholics of the day: Denver moves to tax cooking oil

Share
By Michelle Malkin  •  June 1, 2009 11:32 AM

Saw this yesterday in the Denver Post. Restaurants in the Mile High City are fried over the latest tax grab:

Colorado Restaurant Association Big Cheese Pete Meersman is afraid the city of Denver’s Department of Revenue is jumping out of the frying pan and into the fryer.

At issue? During some recent restaurant-industry audits, the city has claimed separate sales tax on frying oil, claiming that the oil is a separate product because it is not absorbed into the product.

Try telling that to a cardiologist who wants you to cut down on French fries.

“Let’s say you have a grilled cheese sandwich restaurant,” Meersman said. “All the products you get in — including the oil, bread, cheese, garnishes — you don’t pay sales tax on because you’re going to turn around and add all those costs up, charge a price and the customer pays sales tax on top of that.

“The problem with trying to collect sales tax on wholesale cooking oil is that it is already being taxed on the retail side.”

The city’s vigilance in trying to collect a separate tax on oil has boiled to the point where Sysco Denver Food Service Co., the largest food-service distributor in the Rocky Mountain region, is disputing a $90,000 tax assessment on fry shortening.

“It’s a new interpretation by someone new in city government to try and tell us shortening is not part of the food,” said Sysco president Chris DeWitt. “We’ve never been taxed (on oil) before. This puts an undue hardship on the distributor who eventually must pass that cost along to our (restaurant) customers.”

…What’s next, he argues? “Are they going to start charging sales tax on potato peelings? Uneaten chicken bones? The water that’s used to boil pasta? Clam shells?

Soon, “Mile High” will refer to the mountainous stack of taxes driving businesses out of the state.

Posted in: Politics

Marginalizing Melania

May 16, 2018 08:23 AM by Michelle Malkin

SOTU Live on CRTV

January 30, 2018 11:03 AM by Michelle Malkin

Shocker: FBI was ‘unable to preserve and retrieve’ some texts from Trump-hating agent

January 22, 2018 05:28 AM by Doug Powers

Plus: Lynch already knew “no charges will be brought” against Hillary

Prog-tastic: Calif. Dems want state to tax businesses federal tax cut savings

January 21, 2018 09:44 AM by Doug Powers

It never ends

Dianne Feinstein: ‘People die’ when gov’t shuts down. Will she vote against shutdown? Meh, not sure

January 19, 2018 08:29 PM by Doug Powers

DACA is the Dems’ utmost priority


Categories: Politicians, Politics