Tax Type
Retail Sales and Use Tax
Description
Youth Organizations; Applicability of Exemption
Topic
Taxability of Persons and Transactions
Date Issued
04-29-1991
April 29, 1991
Re: Request for Ruling: Retail Sales and Use Tax
Dear******************
This will reply to your letter of April 5, 1991 in which you request a ruling whether your organization qualifies for exemption from the sales and use tax.
FACTS
*********(the "Taxpayer") is a nonprofit organization that provides recreational, educational, and personal development programs and activities for youth ages 5 to 18 years old. Its purpose is to promote the health, social, education, vocational, and character development of youth, irrespective of race, color, creed, or national origin. It seeks an exemption from the retail sales and use tax.
DETERMINATION
Va. Code §58.1-608(8)(n) provides an exemption from the sales and use tax for:
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- [t]angible personal property purchased for use or consumption, or to be sold at retail, by any nonsectarian youth organization exempt from taxation under Internal Revenue Code §501(c)(3) which is organized for the purposes of the character development and citizenship training of its members using the methods now in common use by Girl Scout or Boy Scout organizations in Virginia.
Based upon the information provided, I find that the Taxpayer qualifies under the above exemption. Please note that this exemption applies to tangible personal property purchased for use and consumption by the Taxpayer and allows the Taxpayer to make sales exempt from the tax.
Enclosed you will find a sales and use tax exemption certificate, Form ST-13, which, once completed and signed, will allow the Taxpayer to purchase items exempt of the tax. The Taxpayer should present this form to dealers when making purchases of tangible personal property.
If you have any further questions, please contact the department.
Sincerely,
W. H. Forst
Tax Commissioner
Rulings of the Tax Commissioner