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Gas Prices Up, Food Prices Down
   posted 5:28 pm Fri November 02, 2007 - Charleston, SC
People living in South Carolina looking to save a little cash will catch a break at the grocery store. A tax exception on items termed "unprepared foods" started on November 1. These are essentials, such as milk, bread, and eggs. Bert Hastings owns a market in Folly Beach, and, unfortunately, he was one of the last people to find out about the tax break. He says the state failed to inform him.
 
"Some customer came into the store asking why we charged him a sales tax on food when we weren't supposed to," he said.

Hastings says prior to this incident, the state made sure he knew about any changes in sales tax.

"That is bad when you have to hear about it from a customer," said Hastings.
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The South Carolina Department of Revenue began alerting store owners of the change nearly a year ago. The department used the post office, press releases, and offices of local legislators. I spoke with one state official who said she was shocked the store owner was unaware of the change, and she chalked it up to hear-say.

ABC News 4 myTAKE - What's Your Opinion?Hastings says the situation is under control, and the revenue department is sending him a list of which items are tax-free. How much people save in the store may depend on a rising price at the pump.

Whether we like it or not, gas is one of those things we pay for no matter the price, plus its cost from week to week is unpredictable. Just look at the state averages during the last month. Starting at $2.65 on Oct. 3rd. Gas bottoms out at $2.59 on the 14th before shooting to $2.78 on Nov. 1st.

"There is no real reason for gas to jump like this. It's anticipation and speculation," said AAA Carolinas spokeswoman Lori Jo Simmons.
 
Gas prices are driven by supply and demand. Simmons says there is no oil shortage, and driving season doesn't pick up until the end of the month.

"The gas prices are effecting the consumer as a driver and an air traveler, and flight fares are a little bit higher this year than they have been," said Simmons.

Your cost of living will vary from person to person. You can expect to pay less at the store, but the pumped up prices may take its toll on your bottom line. The tax relief does not apply to alcohol, tobacco, or foods ready to eat.
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