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how can a fruit stand sell fruit and pocket the cash directly, without establishing a tax?
Under what legal circumstances can someone do this?
or a farmer's market stand? or a street vendor?
when I lived in Arkansas it was everywhere I turned. Just on the side of the road, a fruit stand selling fruit and no tax, just pocketing the cash directly. Also, at the farmer's market in Arkansas a coffee stand wouldn't charge tax and would pay their employees direct cash.
I currently live in Los Angeles, CA and I see a lot of street vendors and I'm wondering if they also don't charge tax or if they do, cause it seems like they don't, they're so similar to the fruit stand type vendors in Arkansas.
thanks for the info!
If you live in a state where there is a tax on food, then anyone selling food must collect the tax. As far as I know, there's no way around that.
What state do you live in?
EDIT: California does not charge sales tax on food (except for prepared ready-to-eat meals). Arkansas does, but allows an exemption for small farms. So it doesn't seem like either of the places you're asking about would have been required to collect tax.