Laws, Regulations & Annotations

Business Taxes Law Guide – Revision 2018

Sales and Use Tax Annotations

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495.0000 SALE

Annotation 495.0216


495.0216 Donation as a Sale. The transfer of a Bible is considered a sale when consideration is specified for which it will be transferred to a recipient, regardless of whether the consideration is denominated as a donation or otherwise. This includes a situation where a "donation" of a specific amount is requested or suggested, or where a "minimum donation" is suggested. The gross receipts would be the amount requested or suggested. Any amount submitted in excess would be a true donation and not part of the gross receipts.

The transfer of a Bible would not be considered a sale if there is merely a request for a donation, with no amount specified or suggested and no requirement that a donation be made as a condition of keeping the item.

However, if the amount specified or suggested as a donation is less than 50 percent of the cost of the Bible to the person distributing them, the transaction is not a sale and the distributor is the consumer rather than the seller of the Bibles. 4/12/78.