espresso tax???

Seattle in lather over espresso tax

this is great. I love it. I can't wait to see what seattle decides.

first, washington has no state income tax, so most of the revenue is derived pretty much from property and sales taxes. so coffee tax is fair game in a state so structured.

starbuck's has a good argument, that one industry cannot bear the full burden. but it isn't an industry tax, it is a 'luxury' tax. the industry still sells drip coffee and tea which still serve the necessary function of delivering caffeine. the consumers control the decision whether to subject themselves to the tax, and the industry (starbuck's) is just a conduit for the collection. the industry has to pay sales tax anyway, so it is no additional burden to them.

is an espresso drink a 'luxury' item like a lexus?

starbuck's drip coffee costs almost 2 bucks. it tastes god awful, so people buy espresso drinks instead, at a cost of $4. (seattle prices are probably higher, because everything is more expensive anyway). so, you are basically buying something that costs twice as much, serves the same function (delivering caffeine), but tastes better and looks cooler. and you get your selection of options...

sounds like buying the difference between buying a lexus or a saturn to me...