OCR Text |
Show 6monday, 20, Certain 3-mar- 1978 loss of business lunch reform not restaurateurs cup of tea tini by James M. Schutz Enterprise Staff Writer Restaurants and hotels in Utah are cautiously awaiting action on President Carters tax reform package, now before Congress. It goes without saying, of special interest is martini Carters "three lunch campaign. "This time, its got a fair chance of passing, said Barrie McKay, legal secretary for the Utah Restaurant Association. "Were extremely con- cerned about this particular aspect of the tax reform bill, commented Mike Fletcher, director of public relations for Pearson Enterprises, owner of c the and Hilton hotels. Tri-Ar- Enormous revenues The concern reflects the enormous amounts of revenues involved. Ted Speros, owner of Lambs Cafe which figures heavily in business lunches, said "about 25 percent of our business comes from businessmen conducting their affairs over lunch. If the measure is passed, it could mean that end of our revenues could drop by half. Fletcher's guess was less exact. "I'd guess about 35 percent of our business is in the business expense area. Exactly how much of that will be affected bv the tax mea- sure is uncertain. But anyway you look at it. it comes to a lot of money." gets his way, and makes it harder or impossible to expense the lunch for tax purposes, the cost will be passed on to consumers. merely increase prices of their final goods," he said. Richards thinks, however, private clubs, like the University Club, could be harder hit. "A corporation may decide its going to hurt, but until we see the entire package as passed we would have no idea how much." They will Hotels too McKay thinks the impact on the total food industry will not be all that severe. "Fast foods account for about 75 to Necessary part of business their association together in a new real estate company Associates, Inc. 352 South 300 East, Suite 6 3 Salt Lake City, Utah Mooney-Norto- n & 363-033- commercial - investments - residential real estate a Not everyone thinks it would be a disaster to the restaurant and hotel industry'. Ed Richards, vice president of the University Club, thinks adjustments will be made by the corporations to make up the difference. "The business lunch is a necessary part of everyday business operations. If Carter Are you... Too tall? Too short? We cater to the man who is hard to fit with merchandise from regular stock and with Custom-Tailore- d clothes by our own tailors. Come and find the comfort of clothes that really fit well. Lamb's Cafe owner Ted Speros says 25 percent of his business comes from business trade . " Reform could slash it by half. dues are not an important part 80 percent of the dollar voof its business," he said. lume of food bought in resBob Kendall, assistant taurants in Utah and they'll feel no ill effects from this. manager at the Alta Club, which does a very large share But the private clubs will realvolfood of its and beverage ly feel it. I think a place like in ume business lunches the Alta Club, which probably said, "No question that its Continued on page seven Wallfl WasQoSmg VE VASH VINDOWS AgqSTGSoqq ( IM8 OIOSTIEAM UNIT 320-930- 4 |