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Local businesses seek tax relief

Tuesday, March 17, 2020 by Chad Swiatecki

Local bars and restaurants have joined together in promoting an online petition drive that seeks a reprieve from the state on monthly payments of both the mixed beverage tax and sales tax receipts. The petition, which as of Monday had gathered more than 6,000 signatures, asks the state comptroller’s office to cancel or delay payments of March taxes. The rationale is that delaying the payments would provide needed cash flow for businesses that have seen their revenue drop off severely as a result of the COVID-19 pandemic. It reads, in part: “We are asking the State of Texas to cancel or delay Mixed Beverage Gross & Sales Taxes, and/or Sales tax for a period of time. Payment of these taxes will undoubtedly cause even greater financial burden on already struggling businesses that are closing or being forced to close to stop the outbreak. This delay or cancel of tax will provide financial relief immediately to businesses that will file to pay the March 20th tax due. Federal tax credits at the end of this year will not help cash flow, but cessation of beverage taxes can help NOW. The food and beverage industry in the State of Texas is world class and we need relief immediately.”

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