Were raw meal kits containing meats, sauces, spices, and pasta exempt from Florida sales tax when customers had to cook them away from the store?

Plain-English summary

The Florida Department of Revenue ruled that the raw food kits were exempt from sales tax. They were food products for human consumption, and customers had to cook them away from the seller's premises before eating them.

The retail store sold portion-controlled kits containing combinations of meat, sauces, spices, pasta, and similar ingredients. Customers assembled the kits and packaged them in resealable plastic bags or aluminum trays. Instructions explained how to finish cooking the food later.

The kits were not for immediate consumption

Section 212.08(1) exempted food products for human consumption but excluded food cooked or prepared for immediate consumption. The statute directed the Department to consider customary consumption practices at the selling facility.

Here, the kits were raw and required further cooking. They were packaged for customers to take away rather than eat at the store. The Department therefore treated them as exempt food, not taxable prepared food for immediate consumption.

What this means for you

Meal-kit and food-preparation businesses

Raw ingredients packaged for later off-premises cooking can fit the food exemption when the product is not ready to eat at the point of sale.

Grocery and specialty-food retailers

Document what the customer receives, whether any component is cooked, the preparation instructions, packaging, and whether the selling location supports immediate eating.

Accountants and tax professionals

The ruling turns on the product's condition and customary consumption at the store. A ready-to-eat, heated, or on-premises meal can require a different analysis.

Common questions

Q: What ingredients were in the kits?
A: The ruling gives examples including meats, sauces, spices, and pasta.

Q: Who assembled the kits?
A: The customers assembled and packaged them at the retail food store.

Q: Were the kits ready to eat?
A: No. They required further cooking away from the seller's premises.

Q: Why did that matter?
A: The food exemption did not apply to specified food prepared and sold for immediate consumption, while these kits were for later cooking.

Q: What was the result?
A: The raw food kits were exempt from Florida sales tax on the stated facts.

Citations and references

• Fla. Stat. § 212.08(1) — exemption for food products for human consumption
• Fla. Stat. § 212.08(1)(d)2. — customary consumption practices at the selling facility

Source

• Landing page: Florida Tax Law Library
• Advisement: TAA 05A-024

Original ruling text

SUMMARY
QUESTION:
Whether raw food kits that contain a mix of ingredients such as meats, sauces, spices, and pasta are subject to sales
tax. The kits are assembled by the customer and packaged in re-sealable plastic bags or aluminum trays for further
cooking by the customer. The raw food kits are not ready for immediate consumption.
ANSWER - Based on Facts Below:
Section 212.08(1), F.S., exempts the sale of food products for human consumption. The exemption does not apply to
food products cooked or prepared on the seller’s premises and sold for immediate consumption. Since the raw food
kits are not sold for immediate consumption, but for further cooking by the customer away from the seller’s premises,
they are exempt from sales tax.

June 2, 2005

Re: Technical Assistance Advisement 05A-024
Sales and Use Tax - Raw Food Kits
Dear:
This response is in reply to your letter to the Department, dated December 30, 2004, and postmarked on March 26,
2005, in which you are requesting the Department's issuance of a Technical Assistance Advisement ("TAA") pursuant
to s. 213.22, F.S., and Chapter 12-11, F.A.C., regarding the referenced matter and parties. An examination of your
petition has established that you have complied with the statutory and regulatory requirements for issuance of a TAA.
Therefore, the Department is hereby granting your request for issuance of a TAA.
You are seeking guidance concerning whether raw food kits sold at your XXX are subject to sales tax. As stated in
your letter, you operate a retail food store that sells raw foods in re-sealable plastic bags or aluminum trays. The kits
contain a mix of food ingredients (meats, sauces, spices, pasta, etc.) along with instructions for further cooking by the
customer. The kits are assembled by the customers and are portion controlled and priced per kit. The food is not
ready for immediate consumption.
As provided in Section 212.08(1), F.S., food products for human consumption are exempt from sales tax. The
exemption does not apply to food cooked or prepared on or off the seller's premises and sold for immediate
consumption. In determining whether an item is sold for immediate consumption, there shall be considered the
customary consumption practices prevailing at the selling facility. Section 212.08(1)(d)2., F.S.
Based on the facts presented in your letter, and the above stated statutes, it is our determination that the raw food kits

are not sold for immediate consumption and are therefore exempt from sales tax.
This response constitutes a Technical Assistance Advisement under s. 213.22, F.S. which is binding on the
department only under facts and circumstances described in the request for this advice as specified in s. 213.22, F.S.
Our response is predicated on those facts and the specific situation summarized above. You are advised that
subsequent statutory or administrative rule changes or judicial interpretations of the statutes or rules upon which this
advice is based may subject similar future transactions to a different treatment than expressed in this response.
You are further advised that this response, your request and related backup documents are public records under
Chapter 119, F.S., and are subject to disclosure to the public under the conditions of s. 213.22, F.S. Confidential
information must be deleted before public disclosure. In an effort to protect confidentiality, we request you provide the
undersigned with an edited copy of your request for Technical Assistance Advisement, the backup material and this
response, deleting names, addresses and any other details which might lead to identification of the taxpayer. Your
response should be received by the Department within 15 days of the date of this letter.
Sincerely,
Richard R. Parsons
Tax Law Specialist
Technical Assistance & Dispute Resolution
(850) 922-4838
Ctrl. No. 13541