Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2013
Sales and Use Tax Annotations
340.0000 MAILING LISTS AND SERVICES—Regulation 1504
340.0160 Rental of Mailing Lists. By agreement, an out-of-state society appoints a company to act as a "list manager" for a mailing list. Under the contract, the duty of the list manager is to promote the rental of names and to bear all expenses for that promotion and sales effort. For compensation, the list manager retains 30% of the gross rental price.
Based on this information, the society is the lessor of the lists and the list manager merely acts as an agent on behalf of the society in managing the mailing list. Accordingly, the society is the retailer responsible for collecting California use tax from the lessee. 5/6/92.