Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2013
Sales and Use Tax Annotations
280.0000 GIFTS, MARKETING AIDS, PREMIUMS AND PRIZES— Regulation 1670
280.0797 Promotional Games. Company A creates promotional games for sales programs of manufacturers. The game pieces are attached to manufacturer's products. Since the game was a game of chance, it is not a premium as contemplated by Regulation 1670(d). The game had no relation to the article sold, but merely was a promotional device. The sale of game pieces to the manufacturer is a retail sale, not a sale for resale.
Charges for creating, monitoring, and administering the game are nontaxable services. 10/25/83.