Restore Nonessential Articles Tax Exemptions

Before March 1, 2010, state law exempted from state sales and use taxes all articles sold to sellers of food, meal, or beverage items that sellers furnish to their customers along with the items without adding a separate charge. Effective March 1, 2010, House Bill 10-1194 narrowed the exemptions by subjecting to state sales and use taxes any such articles that the department of revenue determined to be nonessential to the customer. Effective January 1, 2018, the bill reinstates the exemptions from state sales and use taxes for nonessential articles. (Note: This summary applies to this bill as introduced.)