Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2013
Sales and Use Tax Annotations
110.0000 ANIMAL LIFE AND FEED—Regulation 1587
(a) ANIMAL LIFE
110.0310 Sales of Mosquito Fish. A mosquito abatement district raises mosquito fish and releases them into district waters as the fish eat mosquito larvae. They sometimes raise more fish than they can use. In such cases, they enter into agreements with other mosquito abatement districts pursuant to section 6500 et seq. of the Government Code to distribute the excess in return for reimbursement of costs in the form of cash, materials or services. If the district makes more than two sales of fish in any 12 month period, the sales are taxable as all the elements of a taxable sale are present. There is a transfer of title or possession, by a seller, for consideration, for a purpose other than resale, and there is no specific exemption for sales by or between governmental units. The fact that the sale is made under the authority of the Government Code does not alter the tax consequences. 5/10/91.