SACRAMENTO, CA – State officials changed tax policies for food sold out of mobile food trucks.
The California Board of Equalization said the vendors should include the tax in the price of the food.
Sate officials said about 4,000 registered mobile truck businesses will be affected.
Prior to the decision, food truck sales were taxed according to the municipality they were in. Operators would have to adjust taxes each time they moved. Food trucks could add sales tax into the consumer’s price for the item, but they would have to have signage indicating so.
Now food trucks can use one flat tax rate and can just add it into the consumer’s price for the items.
The new rules will go into effect next July.
For more information on the tax regulations, visit BOE.CA.gov