Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2013
Sales and Use Tax Annotations
550.0000 TAXABLE SALES OF FOOD PRODUCTS—Regulation 1603
(g) EMPLOYEES', TEACHERS' AND STUDENTS' MEALS
550.1310 Minimum Wage Law. Where a restaurant pays waitresses wages less than the minimum wage and no record is kept of tips received, the value of meals furnished to the employees is includable in the measure of the tax.
Since there is no other source from which to meet the minimum wage, it is implicit that the meals are used to meet the difference between the actual wage and the minimum wage. This difference is considered a specific charge. 8/25/70.