Great news for your staff (and “crisp wafers in milk chocolate” lovers nationwide): Kit Kat bars aren’t taxable.

At least, they shouldn’t be, according to The Streamlined Sales Tax Project definition. Many states have put it into effect in order to design, test and refine a tax system that radically simplifies sales and use taxes.

But then, issues like this come up. Candy is viewed as a taxable item, but SSTP stipulations also say that if an item contains flour, then that item is considered food, not candy. Take a gander on the ingredients list of a Kit Kat bar, and what do you see? Flour. So Kit Kats aren’t candy — they’re food.

And food is generally not taxable. Confused? So are we. Excited that you can indulge on as many guilt-free chocolate “food items” as you like with full support from SSTP? So are we.

Here’s the real takeaway: Even though SSTP is geared toward making tax questions a non-issue, it’s not all the way there yet, and it’s certainly not set in stone.

If your company’s on the fence about whether certain products or transactions are taxable in certain states, you can do more than check the paper regulations (which end up confusing a department even more). Get state reps on the phone, lay out your situation and concerns, and you might be able to feel your way out of a costly tax situation.

Tags: candy, Kit Kats, SSTP