Tax Type
Retail Sales and Use Tax
Description
Coin-Operated Vending Machines
Topic
Taxability of Persons and Transactions
Date Issued
10-19-1978
The gross receipts of an operator of coin-operated machines subject to a local gross receipts license tax authorized by §58-266.1A(12) of the Code of Virginia includes all the revenue generated by such machines prior to dividing the proceeds with businessmen who have the machines at their places of business. The operator's distribution of a portion of the proceeds to the businessmen, however, would be a business expense for income tax purposes.
Attorney General's Opinion