Minnesota DOR Issues Updated Sales Tax Fact Sheet on Sales of Prepared Food

The Minnesota Department of Revenue Sept. 1 issued an updated sales and use tax fact sheet to clarify sales of prepared food. Prepared food is taxable. Food or drink items can become prepared food when sold in a heated state or heated by the seller, or when two or more food ingredients are mixed or combined by the seller for sale as a single item. Sales of food that aren’t prepared are nontaxable unless the sellers provide eating utensils. Nontaxable sales include bakery items, food requiring cooking before consumption, and ready-to-eat meat and seafood in an unheated state sold by ...