Section 45IAC2.2-5-44. Combination business; sales of groceries and meals

   Where a person operates a combination-type business at one location such as an eating place combined with a donut or pastry shop, sales by such retailer of nontaxable grocery items as described in this regulation [45 IAC 2.2] are nontaxable when sold for home consumption. The method used in distributing these items, including the kind and size of the order and the container used, will be considered in determining whether the items are sold for home consumption. For example, bulk sales of donuts or other assorted pastries, sales of whole pies or cakes and bulk sales of ice cream are nontaxable when sold for home consumption. However, individual orders (e.g., an order of ice cream, a single serving of pie or cake, or a single serving bakery item) are taxable regardless of whether sold for consumption on the premises or sold on a "take-out" basis for off-premises consumption. (Department of State Revenue; Ch. 5, Reg. 6-2.5-5-20(c)(050); filed Dec 1, 1982, 10:35 am: 6 IR 49; filed Aug 6, 1987, 4:30 pm: 10 IR 2637)