Syracuse, N.Y. — Several Syracuse-area restaurants, including one known for its Instagram-worthy dishes, are among the local businesses with the largest unpaid sales taxes in Onondaga County.
The 30 companies and individuals on the list have outstanding tax warrants totaling more than $3.6 million. This debt covers sales tax collected by the companies involved from customers, but is not remitted to the state as required.
Information on the list comes from the state Department of Taxation and Finance and covers the period March 1, 2023 through March 28, 2024. The list includes debts of more than $50,000.
Two of the businesses on the list are Daniel Mercuri's restaurant Lala Lou near Carrier Circle in East Syracuse and Roded on Westcott Street in Syracuse. Lala Rue currently has a balance of more than $108,000, and Roded has more than $64,000 in debt.
Lala Lu opened in January 2023 on the site of longtime local Italian staple Grimaldi's. Lala Lu's cuisine is also Italian, but the restaurant is known for its focus on theatrical dining experiences and dishes created to be shared on social media.
Loded's menu is full of basics like burgers, fried chicken, fries, and macaroni and cheese with creative, colorful, and interesting toppings. The restaurant recently moved to the former Beer Belly Deli location in Westcott.
Mr. Mercury, who also owns Rise and Shine Diner and Lobster Babe in Westcott, said he is working to resolve both debts.
Mercuri said in a text message that Roded was audited in the middle of the coronavirus pandemic. At that time, his business was not doing well and as a result he was behind on his taxes.
She said the original outstanding amount has already been paid and all that remains is the penalty and interest. She said she makes monthly payments on her debt, but she is fighting the remaining amount in court. She said she wanted to settle her debt immediately.
As for Lala Rue, she attributed the debt to New York's business climate and the fact that the restaurant was still new.
“This is a very new business. Unfortunately, something like this can happen during a time of record-high inflation and taxes in New York state,” she wrote. “Unfortunately, it's very difficult for new business to stay above water.”
Mercuri said she also hopes to resolve Lala Rue's debts soon.
Other restaurants are also on the list, including San Miguel Mexican Bar & Grill in Baldwinsville and Second Chance Diner in Camillus. Owners of both businesses have previously said they are working to pay down their debts.
One of the other debts is related to Kasai Ramen, which was located in Syracuse's Armory Square until it closed last year. Owner Kyle Mastropietro previously said he was working to pay off his property.
Mastropietro and two partners opened their new business, The Taphouse on Walton, in the former site of The Blue Tusk in Armory Square in early March.
The county's highest sales tax warrant from March 2023 to March 2024 was more than $452,000 owed by Terry Road Express. The current balance on the warrant is approximately $346,000.
The table below details the largest sales tax liability in Onondaga County. If you don't see the table, click here to open the table in a new window.
The state says the original debt amount filed under the warrant may differ from the current balance for a variety of reasons. If the debt is not paid, the balance can grow as interest and penalties continue to accrue over time.
The balance may also decrease if the company enters into a repayment plan. Also, if more payments were recorded or more penalties or interest were applied, the balance listed may have increased or decreased since March 28, when the list was created. be.
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