The pandemic has changed the physical and economic environment in which restaurants operate. Although food delivery has long been popular for certain types of food, pandemic restrictions and consumer preferences hastened the expansion of food delivery for almost all food and meals. Food delivery can be done either through the restaurant itself or through unrelated third party online food delivery services. Restaurants without pre-pandemic infrastructure for deliveries are now increasingly relying on regional or national online or app-based food delivery services. Delivery, particularly through these online food delivery services, unearth new challenges for restaurants’ compliance with state sales tax laws.

In this article published by Modern Restaurant Management, Eversheds Sutherland Partner Jonathan Feldman and Associate Alla Raykin discuss the new challenges for restaurants’ compliance with state sales tax laws.