11.A) An Amendment to the Frederick County Code, Chapter 155 Taxation, Article XIX Meals Tax, Section 155-118 Tax imposed. The Purpose of this Proposed Amendment is to Reflect an Increase in the Meals Tax Rate from 4% to 6%.
The Top of Virginia Regional Chamber opposes the proposed increase in meals tax (Section 155-118) from 4% to 6% and encourages the Frederick County Board of Supervisors to delay such increase until a later date or not at all.
During the past 18 months, the businesses that provide prepared meals, such as restaurants, quick-service restaurants, caterers, delicatessens, and convenience stores, have faced incredible difficulties and challenges due to COVID-19. As a result, profit margins that were already extremely tight have been reduced even more. In addition, supply issues, increased cost of goods, increased labor costs, decreased labor participation, and improved cleaning and sanitization have put more pressure on these industries, which in many cases were already struggling.
The financial impact extends to every person and family that dines out or orders food for delivery also. Increased costs for dining out due to a tax increase could further deter customers and slow the hopeful return of business to pre-pandemic levels.
The TVRC feels that now is not the time to institute such an increase and hopes that the Board of Supervisors will vote “No” on raising the meals tax and “Yes” to supporting our local businesses and residents.
Approved by the Top of Virginia Regional Chamber Executive Committee
August 11, 2021
The Top of Virginia Regional Chamber opposes the proposed increase in meals tax (Section 155-118) from 4% to 6% and encourages the Frederick County Board of Supervisors to delay such increase until a later date or not at all.
During the past 18 months, the businesses that provide prepared meals, such as restaurants, quick-service restaurants, caterers, delicatessens, and convenience stores, have faced incredible difficulties and challenges due to COVID-19. As a result, profit margins that were already extremely tight have been reduced even more. In addition, supply issues, increased cost of goods, increased labor costs, decreased labor participation, and improved cleaning and sanitization have put more pressure on these industries, which in many cases were already struggling.
The financial impact extends to every person and family that dines out or orders food for delivery also. Increased costs for dining out due to a tax increase could further deter customers and slow the hopeful return of business to pre-pandemic levels.
The TVRC feels that now is not the time to institute such an increase and hopes that the Board of Supervisors will vote “No” on raising the meals tax and “Yes” to supporting our local businesses and residents.
Approved by the Top of Virginia Regional Chamber Executive Committee
August 11, 2021
John Fox
Board Chair, TVRC