27. I operate a dinner theater where I charge an admission that allows entry to the show along with a meal and two free alcoholic drinks. How do I apply the tax to my business?
You are considered to be the consumer of the food and drinks that you provide and you must pay any applicable sales and use tax on your cost of the food and beverage. You must pay the 9% sales and use tax on your purchase of any alcoholic beverages that are provided to customers at no charge. The gross receipts on your ticket sales may be subject to the admissions and amusement tax depending on where you are located.