If you buy a bagel in New York, prepare to pay a bit more to have it sliced.
New York imposes an 8 cent tax to all "altered" bagels, whether it is sliced, toasted or served with a "schmear" of cream cheese or butter.
"Cut bagels cross the line and become a prepared meal or food sold for on-premises consumption, which is taxable," explains Carla Yrjanson, vice president of tax research and content for Thomson Reuters. "Uncut bagels are typically sold for home consumption and would meet the definition of a (tax) exempt food in New York."
Tax revenue for states often stems from unusual laws in an effort to clearly define what goods or services can be taxed. Such taxes allow states to bring in extra revenue without raising taxes across the board, said Barbara Weltman, author of J.K. Lasser's Small Business Taxes 2013.
Click through the photo gallery to see 12 of the more unusual taxes:
By Emma Beck
Sources: http://www.cpapracticeadvisor.com/news/10860541/weird-tax-law-changes-of-2012; http://thomsonreuters.com/content/press_room/tax/749330; http://www.efile.com/unusual-strange-funny-taxes-throughout-the-world-and-history