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Business Taxes Law Guide—Revision 2024

Sales and Use Tax Annotations


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F


245.0000 Food Products—Regulation 1602

Annotation 245.0710

(a) In General

245.0710 Manufacturer's Coupons Redeemed with Food Stamps and Cash. When a retailer receives cash, manufacturer's coupons, and food stamps for a taxable sale, the amounts paid in cash as well as the amounts paid in manufacturer's coupons are subject to sales tax. USDA regulations are consistent with this application of tax.

When a person purchases mixed merchandise, some generally taxable and some exempt, and pays for it with food stamps and cash, the amount of the food stamps must be applied first to merchandise normally subject to sales tax. 11/1/91; 11/12/91.