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April 6, 2021

CT Restaurant Association backs tax retention bill

HBJ Photo | Joe Cooper Restaurants in West Hartford Center.
By Zachary Vasile

The Connecticut Restaurant Association has thrown its support behind a bipartisan state bill that would allow restaurants and caterers to hold onto 1% of the tax on meals and beverages for one year.

Under the terms of the proposal, known as HB 6673, restaurants and caterers would continue to collect the current 7.35% meals and beverages tax but would only need to pass 6.35% on to the state between July 1, 2021 to June 30, 2022.

The bill would not raise the meals and beverages tax on consumers.

The one-year period is designed to ease financial pressure on eateries and the events planning sector, which have been adversely affected by COVID-19-related social distancing and occupancy restrictions, according to supporters.

“This piece of legislation can and will be a lifesaver,” said Scott Dolch, the restaurant association’s executive director. “It will have a significant positive impact on each of our businesses, no matter their size or location in Connecticut.”

In separate statements, House Finance Committee Chair Rep. Sean Scanlon, D-Guilford, and Finance Committee Ranking Member Rep. Holly Cheeseman, R-East Lyme, voiced support for the measure, noting its potential to help small local businesses.

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