Who Collects the Tab? Sales Tax in Food Delivery Apps

This article was originally published in Tax Notes

Ordering a meal through a mobile app has become routine for millions of consumers. Behind what appears to be a simple transaction, however, is a complex tax structure involving restaurants, digital platforms, delivery drivers, and multiple layers of state tax rules. A single online food order can include the cost of the meal, platform service fees, delivery charges, tips, and sales tax — all processed through a third-party marketplace.

BDO’s Ilya Lipin, Tony Montelisciani, and Miguel Diaz provide full details in this article in Tax Notes.