Meals Tax
Tax on Persons Obtaining Food in Restaurants or other Food Establishments
Due date: 20thday of the month following the month in which taxes are collected from the consumer.
Tax rate: Six percent (6%) on the amount paid for meals purchased from any food establishment.
Description: Localities in Virginia are authorized by the Code of Virginia to levy a tax on food and beverages sold, for human consumption, by a "food establishment" (see definition below).
How does it work: The merchant ("food establishment") collects the meals tax from the customer when the customer pays for the meal. The taxes are deemed to be held in escrow by the person required to collect the taxes until remitted to the City. The person collecting the tax is required to report the amount of the meal charges collected and the tax required to be remitted each month to the Department of Finance, Collections Division. The meals tax report is signed and delivered to the Collections Division with the remittance for meals taxes.
For exceptions to the meals tax ordinance, click here to view the City of Richmond Code.
Important Definitions:
"Food Establishment" - A food establishment is any place in or from which food or food products are prepared, packaged, sold or distributed in the city, including but not limited to, any restaurant, dining room, grill, coffee shop, cafeteria, cafe, snack bar, lunch counter, convenience store, movie theater, delicatessen, confectionery, bakery, eating house, eatery, drugstore, ice cream/yogurt shops, lunch wagon or truck, pushcart or other mobile facility from which food is sold, public or private club, resort, bar, lounge, or other similar establishment, public or private. A food establishment shall include private property outside of and contiguous to a building or structure operated as a food establishment at which food or food products are sold for immediate consumption.
Appeals:
To Finance Director and/or Richmond Circuit Court. To view the City and State laws which govern the meals tax, select any of the following links:
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