The Pensacola journal. (Pensacola, Fla.) 1898-1985, 1919-05-06
SOFT DRINKS
REVENUE TAX
MADE CLEAR
COLLECTOR JAMES M. cATHCART
SENDS OUT FULL INFORMATION
CONCERNING LAW THAT BE-
CAME EFFECTIVE MAY 1.

Jacksonville, May 5.-(SpecfaD-
James NJ Cathcart. collector of inter-
nal revenue for Florida, has just re-
ceived statement from the Commits
sioner Of Internal Revenue. Daniel G..
Roper, Washington. in regard to the
collection of the tax upon soft drinks.
ice cream and similar articles at soda
fountains and such places of business,
of which the following is an excerpt:
Printed OBSERVATION-DISCLOSURES of the
printed regulations will be ready for
distribution about May TO-
Effective Date-On and after May I,
1919
Who Pays the Tax-The purchaser,
meaning the person who buys the
article. It is paid at the time of pur-
chase.
Rate of Tax-one "a cent for each
and one ~ cent for each drink cost
ing ten (10) cents or fraction thereof
over ten cents. Further explanation:
The tax is upon the whole amount of
the price paid by the purchaser.
when the price is paid at one time,
though in payment for several articles
which are the subject of single trans
action of purchase and sale, the total
price paid is the unit of computing the
tax Thus, if the purchaser orders
two sodas at the same time, each cost
ing fifteen cents, the tax is cents.
and not four cents. If, however, ne
buys one soda for ] 5 cents, the tax is
cents. and if he then Immediately
purchases another 15-cent drink the
tax is cents on the second sale,
which cannot be treated as part of the
first sale.
Place of Business-The tax is upon
the price of certain commodities para
to any person conducting soda fo.'n
tain, ice cream parlor, or other similar
place of business and whether the
sale is made from a room used Tor
that purpose, from a pushcart, motor
vehicle or otherwise, is subject to the
tax imposed by section $40. Sales of
soft drinks, ice cream, etc., or other
charitable societies. ON special occa-
sions only, such as church festivals,
social parties. ETC., are not taxable.
Such sales in stands, booths or simila
places at agricultural fairs, racing
parks, public exhibitions, circuses,
shows and similar places are taxable.
The distinction lies in the fact of the
sale being made by the person con-
Quoting place of business, even
though temporarily, and merely incl
dental sales which can not properly
be considered business" Sales of Soft
drinks ice cream and similar articles
Of food or drink are NOT taxable when
made in the regular course of business
at a hotel, restaurant, cafeteria, lunch
room, or club house. unless such ar
ticles are sold seperate and apart from
meals.
The foregoing section provides that the
tax shall be levied upon the sale of
soft drinks, ice cream, ice cream
sodas, sundaes. or other similar arr
ticIes of food or drink, when sold for
in or in proximity to
such place of business This provision
is interpreted to mean that when any
of the specified articles are sold in
such containers or under such con-
ditions as to indicate that they would
ordinarily be consumed in or in prox-
lefty to the place of business, they are
taxable.
When ice cream. soft drinks, or sim |
liar articles of food or drink are sold |
to be carried away for consumption at |
4 place not in proximity to the place /
of business such ice cream, food, or /
drink being placed in containers 81 |
4 kind ordinarily used to convey the |
-rticles indicated. they are NOT tax
able.
Beverages Taxable-In general, suc1 |
beverages as are commonly known ash
Soft drinks which are compounded or +
mixed a the fountain where sold. are I
subject t. the tax. Beverages, though (
sold at lie fountain. if delivered ready |
-. resumption from a hottie or
,Icsed cos1ta sner ard on which a tax
las been ~ ID under section 628 of
he reve-~ - ee.c are NOT sub
ect to the tax. rs~e-r7nles: All bever-
ages. when co...se.nzded or mixed at
r. suataia. si,c,' oyapgeade. lem
ma de. pineapple juice, coca @o'a- root I
,ecs. nloxie rl1osphatee. frsfit md
= s,ce51c -vrups compounded o. mixed s
ritt2 c7-'4e,-,.-o1 -seter or n'7in wafer. +
,,s'k shakes IN ~. for-- melted milk
lIe'-os in am form, c. cam and egg
,hakes, ice cream SOC. ice cream.
- cream sundaes, ice cream sand
vict es. Favored ices. and all other
:irnilar foods and drinks ,ot enllmer-
ted or specified. Note tina state @Ex-
IMPLIES. of soft drinks Tiafch az AK
tble There are many Others rot zzaea-
tened '-aeein
Beverages Not Taxahi e-Examples;
lot beef tea, coffee thot, cold or iced1;
ga hot. cold or iced); buttermilk,
milk. bet chocolate or cocoa, hot clam
,ro.h. hot clam bisque. hot tomato
,isaue and hot tomato bouillon. No
AK applies on the sale of beverages