Downtown Minneapolis has country's highest restaurant tax

Murray's Restaurant
Executive chef John VanHouse (left) prepares food at Murray's Restaurant in Minneapolis on Tuesday, June 15, 2010.
MPR Photo/Annie Baxter

Taxes on meals in downtown Minneapolis are higher than any city in the country, according to a report from the Tax Foundation. That means higher than Chicago or New York.

When you add up the state sales tax, county taxes, and authorized local taxes, meals in downtown Minneapolis are taxed at 10.775%. If you're in a venue where there's live entertainment performing while you eat, tack on an extra 3 percentage points.

The report might make its way into the Vikings stadium debate at Minneapolis City Hall and the Capitol. The proposal for a new stadium calls for rerouting some of those taxes to pay for the city's portion.

Joanne Kaufman, executive director of the Warehouse District Business Association, will be talking with Tom Weber about how it might play in the stadium debate.

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