At a recent council meeting the sales tax collection on the golf surcharge was mentioned. The attorney I recall said it is not taxed in relation to setting new rates and fees when the course reopens.
When I was looking into the surcharge and where the money was spent or set aside I was told that part of it went to sales tax. I questioned that it should not have been taxable but no one ever looked into that.
Being that I was told we paid sales tax to the state, if it was not a taxable sale. Could the city recover any of the thousands of dollars wrongly paid in? At the least this needs to be firmly ironed out before new rates and fees are set.
I held a sales tax license for an online endeavor I was trying and attended the training for it at that time, which is why I am questioning this. When I held my license a government surcharge would not have been taxable, I would have also been skeptical of charging two dollars and “back figuring” the tax. There are specific laws for setting the price and tax and how it is calculated, and even permissible.