MO Sup. Ct. Says Private Cafeterias Can't Be Taxed
Jefferson City, MO – The Missouri Supreme Court ruled Tuesday that government cannot tax food and drinks bought in private company cafeterias that aren't open to the public.
The decision could force the state to pay back millions in refunds to companies that collected the sales tax. Business can file an appeal.
The ruling only applies to companies that own and operate their own cafeterias for their workers. Companies that contract caf service out still have to pay the tax.
In the court case, the Revenue Department had required Columbia-based Shelter Insurance to pay sales taxes at its cafeteria.
The ruling instead requires the state to reimburse Shelter the $110,000.