A downtown Ellsworth restaurant has temporarily closed over an unspecified tax issue with the state.
Margaritas Mexican Restaurant, part of a chain which opened on Main Street in 2021, was ordered closed by Maine Revenue Services last week for “noncompliance,” according to a notice posted on the front door by the state agency. The notice, which has since been removed, cited a portion of state law that pertains to sales and use tax.
A spokesperson for Maine Revenue Services confirmed Thursday that the closure was ordered on May 14 and that the situation remains unresolved, with the order still in place. Citing confidentiality of a business’ finances, the spokesperson declined to provide information about how the restaurant was in violation of Maine’s tax laws.
A call placed to the business Friday morning by the Bangor Daily News was not answered.
The Ellsworth restaurant is part of a chain of nearly two dozen Margaritas locations in the Northeast. Of those 22 locations, which include five in Maine, the Ellsworth location is the only one listed as “temporarily closed” on the company’s website.
The longtime Margaritas in downtown Orono, which had operated for roughly 40 years, closed down earlier this year, according to media reports.


