Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2013
Sales and Use Tax Annotations
295.0000 GROSS RECEIPTS
295.0315 Hospital Cooperatives. An entity provides product standardization, cooperative purchasing and centralized distribution services to hospitals which become members. As long as the hospitals participate only as consumers and do not purchase items for resale from the entity, the entity will qualify as a consumer cooperative, inasmuch as the hospitals are consumers. Under the statute, "consumers" are not limited to natural persons. Thus, a cooperative may be formed by legal as well as natural persons. However, such persons must participate in the cooperative only as consumers. 5/31/94.