Q: Is this taxable?
If I sell a gift bag full of food (chips, wine, nuts, cookies) because food is tax exempt, do I have to collect tax on it? (State of florida)
A:
For sales tax: When you sell the package for one price if the taxable items are less than 25% of the total value then sales tax is not required to be collected.
If the non-exempt items represent more than 25% of the value then you collect sales tax on the full price.
If you itemize the items in the package to calculate the sales price you have to collect tax on the non-exempt items and not the exempt items.
For income tax you owe federally on the gross less your costs. No state income tax unless you're a corporation.
Bruce Alexander Minnick agrees with this answer
A:
Mr. Blackburn is 100% correct. I am writing only to inform you that you are incorrect about "food being tax exempt" (or food going untaxed) in Florida.
Proof: The next time you go to any Publix grocery store try buying several different "food" items like these (all your items are ready to eat); and also buy some unprepared raw meat, veggies, fruits or any other food item that is NOT ready to eat. Then look at your receipt to find the "T" next to each non-ready to eat item of food.
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