Laws, Regulations & Annotations

Business Taxes Law Guide – Revision 2018

Sales and Use Tax Annotations

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Annotation 100.0060


100.0060 Caricatures. Where an artist is hired by the hour by agencies for their clients, or by individual companies to draw caricatures at an event, a taxable sale of tangible personal property occurs and the entire amount paid to the artist is includable in gross receipts.

The artist transfers title and possession of the caricatures by giving them to the individuals at the events attended. Consideration received is in the form of money from the agency or firm which contracts with the artist to draw the caricatures. It is immaterial that the total consideration paid for each caricature varies, depending upon how many drawing requests the artist receives during an event. Although part of the payment received for selling caricatures may represent payment for the artist's attendance at the event and drawing of the caricatures, the sales price includes the full payment received by the artist, not just the value of the ink, paper, and drawing which the artist sells.

Where the artist is hired by the hour, regardless of whether a single caricature is drawn, and the artist attends an event at which a caricature is not drawn, the payment the artist receives is nontaxable. 3/15/91.

(Note: This opinion was superseded by section 6010.30, operative April 1, 2000.) (Am 2000–2).