1. (a) When an operator gives a free promotional coupon, gift certificate, or other document for no consideration, and the document is redeemed, the tax shall be computed on the actual amount paid for the taxable meal, excluding the face value of the coupon or the amount discounted. See Appendix II for example.
2. (b) All supporting source documents, such as, but not limited to, cash register tapes and guest checks, shall show the tax calculation, unless tax is included in the charge made for the meal.
3. (c) Donated meals, including meals in exchange for gift certificates, and complementary meals shall not be taxable, provided no consideration was given for the meals.
4. (d) Barter transactions, such as, but not limited to, meals exchanged for advertising, shall be taxable to the extent of the usual and customary charge for such taxable meal exchanged.
5. (e) When a meal is purchased with nutrition assistance benefits issued under federal law pursuant to a program that prohibits the assessment of a state tax on items purchased, it shall not be taxable to the extent of the part of the meal purchased with nutrition assistance benefits.

Source. #5399, eff 5-21-92; ss and moved by #6750, eff 5-19-98 (from Rev 702.09); ss by #8653, eff 6-8-06 (formerly Rev 702.10); ss by #10714, eff 11-7-14 (from Rev 702.16); amd by #13077, eff 7-25-20; ss by #12366, eff 8-22-17; ss by #13432, eff 8-12-22; ss by #14105, eff 10-29-24, EXPIRES: 10-29-34 (formerly Rev 702.11)