Richmond restaurants ‘in limbo’ trying to settle meals tax issues with city

RICHMOND, Va. — Andrew Clarke, co-owner of 821 Cafe located in the middle of VCU’s campus, credits longevity in the restaurant business to good food, prime location, and having a passion for the job.

“I’m really, really happy to have been doing what we do for 20 years, and I want to do it for 20 more years,” Clarke said.

Another key ingredient to a successful business – paying the taxes on time.

“We thought everything was great. You pay it on the 20th and it’s pretty mindless. You have your accountants who do a great job, and that’s all you have to do,” Clarke said.

But like many others, Clarke is in the middle of a meals tax mess with the City of Richmond.

“Keeps you up at night sometimes, for sure,” Clarke said.

The problems began six months ago when Clarke said he got a call from the finance department saying they had reviewed his meals tax account and found he was due a refund.

Considering media coverage at the time of other restaurant owners who expressed frustrations with the city’s handling of meals tax collection and surprise late fees, Clarke filed his refund notification under the “too good to be true” category.

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