Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2013
Sales and Use Tax Annotations
550.0000 TAXABLE SALES OF FOOD PRODUCTS—Regulation 1603
(a) IN GENERAL—FACILITIES FOR CONSUMPTION
550.0106 Fundraising Event. A public television station sponsors a fundraising event in which attendees at these events pay an admission charge. The television station arranges for vendors to bring in their various food products for attendees to sample. In exchange for donating their food products, the vendors receive print and broadcasting promotion. Volunteers of the television station are responsible for taking money at the door, assisting in cleanup, and helping vendors present and serve their products.
Under this scenario, the television station is the seller of the food and beverages since the servers were primarily television station volunteers. On the other hand, if the vendors were contracted to supply and serve the food, the vendors would be the sellers and the consideration would be the value of the print and broadcast promotion provided to them and the space provided at the event to them to promote their products. 5/2/88.