What stays taxable
Prepared food, soft drinks, bottled water and dietary supplements are taxable, beer and wine carry regular sales tax, and exempt food still counts for retailing B and O (RCW 82.08.0293(2), WAC 458-20-244).
Transcript
Sal Prepared food, soft drinks, bottled water and dietary supplements are taxable. That's a sweetened soda, a bottle of water, a vitamin, a sandwich heated by the store. Beer and wine aren't food, so they carry regular sales tax.
Sal And exempt from sales tax isn't exempt from B and O. Gross proceeds from exempt food still count for retailing B and O.