An official website of the Commonwealth of Massachusetts
This page, Letter Ruling 83-43: Vendor, Defined: Employee Selling Meals at Workplace, is offered by
Letter Ruling

Letter Ruling Letter Ruling 83-43: Vendor, Defined: Employee Selling Meals at Workplace

Date: 05/05/1983
Organization: Massachusetts Department of Revenue
Referenced Sources: Massachusetts General Laws

Sales and Use

May 5, 1983


You inquire who is responsible for the sales tax in the following situation. Your client, a factory owner, permits one of his employees to sell sandwiches, beverages and other snacks in the factory to other employees. The employer does not provide the food or receive any proceeds from these sales.

The sales tax imposed upon sales at retail of tangible personal property must be paid by the vendor to the Commissioner of Revenue. (G.L. c. 64H, § 2). A "vendor" is a retailer or other person selling tangible personal property. (G.L. c. 64H, § 1(18)). No person may do business in Massachusetts as a vendor unless a certificate of registration has been issued to him by the Commissioner for each place of business. (G.L. c. 64H, § 7).

Based upon the foregoing it is ruled that the employee selling sandwiches, beverages, and other snacks is the vendor responsible for filing returns and paying the sales tax to the Commissioner. The employee must register as a sales tax vendor in order to conduct this business.

Very truly yours,

/s/Ira A. Jackson

Ira A. Jackson

Commissioner of Revenue


LR 83-43

Table of Contents

Referenced Sources: