Chap. 295.—An ACT to amend and re-enact Section 197 of the Tax Code of
Virginia, as heretofore amended, in relation to restaurant licenses. [H B 296]

Approved March 28, 1938

1. Be it enacted by the General Assembly of Virginia, That sec-
tion one hundred and ninety-seven of the Tax Code of Virginia, as
heretofore amended, be amended and re-enacted so as to read as fol-
lows:

Section 197. Restaurants——Any person who shall cook, or other-
wise furnish for compensation, diet or refreshments of any kind, for
casual visitors at his house, for consumption therein, and who does
not furnish lodging, and who is not the keeper of a hotel or lodging
house shall be deemed to keep a restaurant. Any person who shall
sell soft drinks from a soda fountain shall also be deemed to keep
a restaurant.

Every person who shall keep a restaurant within the meaning of
this section, if located in a town or city of more than five thousand
population, shall pay for the privilege an annual State license tax
of ten dollars and if located in a county or in a city or town of less
than five thousand population an annual State license of five dollars,
plus an additional tax in each case at the rate of thirteen cents per
one hundred dollars on all sales made by him during the next pre-
ceding year. The State license tax on every restaurant-keeper begin-
ning business, if located in a town or city of more than five thousand
population shall be ten dollars, or if located in a county or in a town
or city of less than five thousand population five dollars, plus an addi-
tional tax in each case at the rate of thirteen cents per one hundred
dollars on all sales, which it is estimated he will make from the time
he commences business to the following December thirty-first.

The license tax of every restaurant-keeper who was licensed at a
definite place of business for only a part of the next preceding license
year shall be for the then current license year the flat tax provided
above, plus the additional tax of thirteen cents per hundred dollars
on all sales which it is estimated he will make throughout the then
current year.

Every under-estimate under this section shall be subject to cor-
rection by the Department of Taxation, whose duty it shall be to
assess such restaurant-keeper with such additional taxes as may be
found to be due after the close of the license year on the basis of the
true sales.

Every restaurant-keeper shall keep accurate records of all sales
made by him, which records shall at all times be open to inspection
by the tax officers of. this State.

Nothing in this section shall be construed as in any way affecting
the Sunday observance laws of this State.

This section, as hereby amended, shall be in force for the license
year beginning January first, nineteen hundred and thirty-nine, and
for every license year thereafter until otherwise provided by law.