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PUMPKIN AMNESTY

November 01, 2007

20071101-1.JPGBowing to nationwide ridicule, the Iowa Department of Revenue reversed itself on the contentious pumkin tax yesterday. The Department had ruled that pumpkins purchased for carving would be subject to sales tax, but those purchasing pumpkins for food could get a sales tax exemption by filling out an exemption form.

Now we can turn our attention to another gross sales tax injustice: the disparate treatment of Milky Way bars.

The Iowa sales tax law says the following about candy:

"Candy" means a preparation of sugar, honey, or other natural or artificial sweeteners in combination with chocolate, fruits, nuts, or other ingredients or flavorings in the form of bars, drops, or pieces. Candy shall not include any preparation containing flour and shall require no refrigeration.

The ingredients in the classic Milky Way bar:

MILKY WAY® Bar ingredients: milk chocolate (sugar, cocoa butter, skim milk, chocolate, lactose, milkfat, soy lecithin, artificial flavor), corn syrup, sugar, partially hydrogenated soybean oil, skim milk, less than 2% milkfat, cocoa powder processed with alkali, lactose, malted barley, wheat flour, salt, egg whites, artificial flavor

20071101-4.jpg
Tax-exempt.

The ingredients in the Milky Way Midnight Bar:

MILKY WAY® MIDNIGHT® Bar ingredients: semisweet chocolate (sugar, chocolate processed with alkali, cocoa butter, chocolate, milkfat, soy lecithin, vanilla extract, artificial and natural flavors), corn syrup, sugar, skim milk, partially hydrogenated soybean oil, less than 2% butter, milkfat, lactose, salt, egg whites, vanilla extract, artificial flavor.

20071101-5.jpg
Taxable.

So: Milky Way Midight: subject to Iowa sales tax. Milky Way classic: exempt in Iowa.

No justice, no peace!

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Comments

The irony in your pictures: Last year, Laura and I carved the same character into our pumpkin: Bubs from Homestarrunner.com.

I've now had two people recognize Bubs - one yesterday, and now you. And you had your own Bubs! I had given up on any Bubs recognition...

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