Do you charge Sales Tax as a Personal Chef in CA?

Discussion in 'New User Introductions' started by Ali's Eats, Mar 1, 2018.

  1. Ali's Eats

    Ali's Eats

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    Hi There,

    I am just starting a personal chef business, and have been given a lot of mixed information from different people, but I am not confident they are a qualified source. I know as a caterer you charge sales tax. But it is unclear to me, if I should be charging sales tax to my clients as a personal chef. I am shopping day of and bringing groceries to their home and preparing it there. The state's tax site doesn't really cover personal cheffing...only catering, event planning, bartending, food trucks, etc. I was hoping there is a experienced personal chef from CA who could provide me some guidance on this. Any knowledge on this area, would be greatly appreciated.

    Sincerely,
    Ali
     
    linecookliz likes this.
  2. brianshaw

    brianshaw

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  3. sgsvirgil

    sgsvirgil

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    Under The California Board of Equalization Regulation 1608, a private chef is considered a "caterer" and must charge sales tax in the same manner as a caterer.

    "(5) PRIVATE CHEFS. A private chef is generally not an employee of the customer, but an independent contractor who pays his or her own social security, and federal and state income taxes. Such a private chef, who prepares and serves meals, food and drinks in the home of his or her customer is a caterer under this regulation."

    Here's the link: http://www.boe.ca.gov/lawguides/business/current/btlg/vol1/sutr/1603.html

    You'll find the information near the bottom under the section "Caterers."

    I would suggest that you verify the information with the proper government resources in California before you start operating.

    I hope this helps.

    Cheers!
     
  4. Ali's Eats

    Ali's Eats

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    Thanks for your prompt response. This is the state's site I referenced, that I referred to in my email. It is specific to Caterers or preparing food out of a place of business, and not Personal Chefs who are working out of peoples homes and are offering a personal service. I have read from a separate source if you prepare food that already is in someone's house that, you don't apply sales tax, but if I am bringing groceries to their home, do I charge sales tax? I feel like for the service I provide there is not clear guidelines to follow. And I don't want to find myself in a situation, where I don't charge sales tax and then find out I should have been. Thanks so much.
     
  5. Ali's Eats

    Ali's Eats

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  6. Ali's Eats

    Ali's Eats

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    Thank you so much! I have been digging for this information and was not successful in locating the specific requirements for a private/personal chef. This is a huge help. I really appreciate it!

    Sincerely,
    Ali
     
  7. sgsvirgil

    sgsvirgil

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  8. sgsvirgil

    sgsvirgil

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    You are welcome!

    Good luck!
     
  9. halb

    halb

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    The FIRST place to ask this question is your accountant. You do have one, right? When you do collect sales tax you have to have an account set up with your state and remit the money you collected either quarterly or annually. Usually this requires you to have a federal ID, a business entity set up and to keep proper business records. This is something an accountant and attorney will advise you on.