Wednesday, May 12, 2010

Taxing Candy not such a Sweet idea

Effective June 1, a 6.5 percent State sales tax in addition to local add-on taxes will accompany a favorite candy confectionary, bringing a sour taste to someone’s mouth to go along with that sweet tooth. The economic downturn and high unemployment rate in Washington has resulted in a statewide budget shortfall and a shrinking tax base threaten to jeopardize important agricultural, educational, environmental, transportation, social service and other programs. The Washington State Department of Revenue defines what constitutes a ‘candy’ and what does not, as far as ingredients are concerned. It seems that not all candy is created equal, whereas, one could be a candy confectionary and the other a sweet treat. It is interesting that the new Law exempts from taxation candy that is purchased under the Food Stamp Program. Be that as it may, manufacturers of products that are almost entirely classified as a “candy” according to State Law might show a decrease in their bottom line and shrinking market share if consumers protesting this newest ‘taxation’ decide to satisfy their palette with other sweet, non-candy confectionaries.


Robert Randle
776 Commerce St. #B-11
Tacoma, WA 98402
May 12, 2010
pbks@hotmail.com