Evening star., 1949-07-31
Districts ? Per Cent Sales Tax
TOGO Into Effect at Midnight
Continued From First Page }

file Immediately. because he said
he fully intends to beat the
bushes" during August to see that
all have complied. Mr.. Brooke
said he would be surprised if
$4,000 voluntary applications were
received.
Required to Collect 1t.
A few stores. restaurants, filling
stations and other establishments
will be open at midnight when the
tax legally goes on. The transi-
tion should be simple enough:
Before IL am: No tax-after the
stroke of IL. the customer will find
a new place for his random pen
nies.
Tomorrow storekeepers expect
to do a lot of explaining to buyers
who cape and exclaim: What
sales tax?"
They will point out patiently
that this is no diabolical plot of
theirs; the law requires retail mer-
chants to pass along 2 per cent
of their gross receipts, and to col
lect from the public.
They will just as patiently point
to little cards loaded with figures
showing that on purchases from
one to 13 cents, there is no tax:
on purchases of from IA to So
cents, inclusive, the tax is one
| penny. on purchases Of from 81
centsto~$1.13. inclusive, the tax is
two cents. and that on each so
cents additional, the tax goes up
penny. ss
Meals Up to $1.25 Exempt.
At drug stores, where the prob
lem of separating taxed and non
taxed articles is most bothersome,
clerks will point to signs to support
their observations that most drugs
aren't taxed. but most cosmetics
and toiletries are, even though the
Federal Government already is
collecting an excise tax on them.
At restaurants there will be
other firm explanations from the
waiter. He will tell the tab-holding
member of the party of five that
the Sales Tax Office has approved
a plan whereby the check is total
led for all five meals.
Then it is divided by five, and If
the average is $1,26 or more, tax
must be paid for each meal. There
is no charge for a meal eaten on
the premises If the check is $1.25
or less.
Down the street a tavern-keeper,
if he wishes to hew strictly to the
line, will tell his best tap beer GUS
toner that beer and other alco-
holic drinks are taxed from II
cents up. And that just because he
buys the 10-cent glass of beer, he
legally can't escape the tax by
paying for it glass at a time. The
law says he sould pay tax on the
total tab run up.
Grocer's Problems Simpler.
The grocer's problems are sim
pier. All food is tax-free. But he
mast separate such items as soap,
mops, brooms and most other in
edible things, and pass along the
tax on them.
Liquor dealers will take a heavy
rap. All licenses have been in
creased by so per cent, meaning
that q class A dealer must now
pay SLIPS year instead of $3.50.
All liquor over "a proof will be
taxed rs instead of so cents a
gallon. Beer will go up 4 cents
a case to them, which they will
pass along to the customer, wines
will be taxed Is cents a gallon,
and a new tax of 22Ka cents a
gallon goes on sparkling bur-
gundy.
With the wholesaler also having
his license fee increased so per
cent and probably wanting to
pass along some other overhead
he has been carrying. prospects
are for 5-to-8-cent increase in
liquor flfths, plus the new sales
tax. It's safe to say that the
average bottle will cost from IL
to Is cents more tomorrow.
4 Multiple Sales Tax Likely.
One of the first requisites on
the shoppers list is to learn the
fundamentals of multiple buying
Practically all stores selling a
variety of items have devised
means whereby the customer may
make a number of small pur-
chases without paying the tax
each time.
| The customer has the sales
clerk to write the tax cost on a
memorandum slip which may be
carried. to the next clerk for q
similar mark, and so on until
the shopping is completed. The
tax then is paid with the final
purchase.
, Theoretically. the District res
ident would not save by shopping
in tax-free Virgini~ On mer.