Arizona Administrative Code › Title 15 - REVENUE › Chapter 5 - Department of Revenue - Transaction Privilege and Use Tax Section › Article 18.1 - SALES OF FOOD › Section R15-5-1860 - Definitions

Current through Register Vol. 30, No. 28, July 12, 2024
For the purpose of these rules, unless the context requires
				  otherwise, the following definitions will apply:
1. "Accessory food items" means coffee, tea,
				cocoa, carbonated and uncarbonated drinks, candy, condiments and spices, and
				other non-staple foods.
2.
				"Attendant" means a person, generally the employee of the retailer, who waits
				on the customers, or tends to their needs.
3. "Automatic retailer" means a coin operated
				mechanical device or system which sells tangible personal property. Such device
				or system must itself vend or sell the items, i.e., a device or system which
				delivers the subject of the sale, or by automatic action physically delivers
				the thing sold. Vending machines are considered automatic retailers.
4. "Caterer" means a person engaged in the
				business of serving meals, food and drinks on the premises used by his
				customer, but does not include employees hired by the hour of day.
5. "Delicatessen" means a business which
				sells specialty food items, such as prepared cold meats, perishable food and
				grocery items kept under refrigeration.
6. "Facilities for the consumption of food"
				means appropriate furniture, tableware, or parking areas for sitting both in or
				on the premises of the business, either in or out of a motor vehicle.
7. "Food"
a. Under A.R.S. § 42-1387, the
				Department is required to promulgate rules defining food as those items that
				may be purchased from an eligible grocery business with food coupons, but in no
				event may such definition of food include food for consumption on the premises,
				alcoholic beverages or tobacco. Even though alcoholic beverages and food for
				consumption on the premises may be intended for human consumption, such items
				are not considered food by the statutory provisions. In these rules, items that
				are considered food by the Statutes, and therefore tax exempt if sold by a
				qualified retailer, shall be referred to as "tax exempt foods." Other items
				that may be intended for human consumption but are excluded from the definition
				of food by the Statute, and are therefore subject to the Sales Tax, shall be
				referred to herein as "taxable foods."
b. "Food" means: Items intended for human
				consumption. Food is deemed to be intended for human consumption when its
				intended or ordinary use is as a food for human consumption or is an ingredient
				used in preparing food for human consumption. For example, even though animal
				food may be used by some humans, its ordinary or intended use is not for human
				consumption. Also, even though vitamins and other medication may be ingested,
				its intended or ordinary use is as a health aid or therapeutic agent or a
				deficiency corrector and is not intended for use as food. Following is a
				numeration of items which the Department does not consider food for human
				consumption:
i. Pet food and
				supplies
ii. Cosmetics and grooming
				items
iii. Tobacco
				products
iv. Soaps and paper
				products and household supplies
v.
				Dietary supplements such as vitamins or protein supplements
vi. Medicines
vii. Fertilizer