Sales Tax On Cakes In Michigan?

Business By Trixyinaz Updated 22 Sep 2008 , 5:30pm by UltimateCakes

Trixyinaz Posted 15 Aug 2008 , 1:30pm
post #1 of 6

Do you or don't you? I'm searching the net and can't find if cakes are a taxable food item. I usually can't find stuff on gov't sites anyway....never know the right terminology, etc. Thanks to anyone if you know the answer to this.

5 replies
sherry_lyn Posted 20 Sep 2008 , 7:44am
post #2 of 6

It is my understanding that only food items prepared for consumption on site are taxed. If you had a bakery with seating & served cake by the slice, then you would have to pay sales tax. Otherwise, it's like cakes from a grocery store & not taxed. Hope that makes sense. icon_razz.gif

jmt1714 Posted 20 Sep 2008 , 5:20pm
post #3 of 6

here cakes in a grocery store are taxed. a cake mix isn't, but the bakery cake is prepared and ready to eat and thus taxable.

lovinkakes Posted 20 Sep 2008 , 5:49pm
post #4 of 6

Different state, but cakes are taxed for the city if: delivered to a venue. Not taxed if picked up by the customer or delivered to a home. I highly, highly suggest a call to your local and state government. It will take them a while to get back to you as they define a rule themselves, pass it on to each other, and then get back to you with an answer. For my state, it's all taxed.

indydebi Posted 22 Sep 2008 , 12:54pm
post #5 of 6

in my state, all 'prepared' foods are taxable, no matter where you eat it.

I'd suggest you just call the state IRS dept, sales tax division, and ask them. Be sure you get a name of who told you what, and I'd get their actual title. (These offices hire a lot of folks who will never have more than a minimum wage job yet they allow them to answer the phone and disburse wrong and incorrect information ..... if they even pretend to knwo what they're talking about to start with! Don't even get me started on how I found this one out!)

And I so agree on the confusing govt websites .... it's like they have a sadist on staff who gets a big kick out of hiding all the info you'll need! icon_lol.gif I usually call the office and make them walk me thru the website to the page I need then bookmark it.

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