Sales Tax State Activity Update - January 2003

Non-Profit Organizations Exempt from Sales Tax on Printing Costs in Florida

Florida Department of Revenue has issued a Technical Assistance Advisement stating that non-profit corporations are not subject to sales tax on printing cost of magazines and catalogs.

The Taxpayer, a 501( C ) (3) corporation, raises funds through membership dues, subscriptions and by mail order catalog sales. The taxpayer, sell magazines by subscription through the mail and provides similar magazines to members paying membership dues. The taxpayers also provides catalogs free of charge to its members and magazine subscribers.

Since the Taxpayer is an organization that was determined by the IRS as a 501(C) (3) entity exempt from Federal Income tax, FDOR has stated that taxpayer qualified for the sales tax exemption provided by section 212. 08(7). Taxpayer is required to furnish a copy of the Consumers Certificate of Exemption to the printer to be exempt from sales tax on printing cost of magazines and catalogs.

(Technical Assistance Advisement 02A-041, Dt 10/04/2002) 01/03

---

Subscribe to CyberTax News and receive the latest indirect tax news, including rate changes, rule updates, compliance issues, and more, delivered directly to your email.

Email Address