Tax Type
Retail Sales and Use Tax
Description
Nonprofit organizations, private schools, and churches; Child protection organization
Topic
Taxability of Persons and Transactions
Date Issued
05-15-1998
May 15, 1998
Dear***:
This is in reply to your letter of April 16,1998, in which you request a ruling regarding the availability of a retail sales and use tax exemption for the ***** (the ``Taxpayer').
FACTS
The Taxpayer is a nonprofit organization exempt from federal income taxation under Sec. 501(c)(3) of the Internal Revenue Code. Based on the information provided, the Taxpayer is organized to: (1) promote the protection of children from exploitation and victimization; (2) enhance public and official awareness and understanding of the nature and extent of the problem of missing children and children victimization; (3) build a network of information sharing and public education; (4) assist individuals, groups, agencies, and state and local governments in tracking and locating missing children; and (5) conduct and sponsor forums, lectures, debates and similar programs.
You ask if the Taxpayer qualifies for the retail sales and use tax exemption provided in Code of Virginia Sec. 58.1-609.8(33).
RULING
Code of Virginia Sec. 58.1-609.8(33) provides an exemption from the retail sales and use tax for:
Based on a review of the Taxpayer's articles of incorporation and other information, l find that the Taxpayer satisfies the criteria in Sec. 58.1-609.8(33)(1). The Taxpayer (1) preserves, strengthens and promotes healthy family life by promoting the protection of children from exploitation and victimization; (2) prevents individual and family breakdown through its programs; and (3) addresses other human service needs. Accordingly, the Taxpayer qualifies for the exemption.
Please note that the scope of this exemption is limited to tangible personal property purchased by the Taxpayer for its own use or consumption. The Taxpayer may present a copy of this letter to its vendors to make purchases exempt of the retail sales and use tax.
The exemption in Code of Virginia Sec. 58.1-609.8(33) was originally effective for the period July 1, 1995, through June 30, 1998. The 1998 General Assembly enacted legislation to extend the sunset date of the exemption to June 30, 1999.
If you have any questions regarding this matter, you may contact ***** of the department's Office of Tax Policy at *****.
Dear***:
This is in reply to your letter of April 16,1998, in which you request a ruling regarding the availability of a retail sales and use tax exemption for the ***** (the ``Taxpayer').
FACTS
The Taxpayer is a nonprofit organization exempt from federal income taxation under Sec. 501(c)(3) of the Internal Revenue Code. Based on the information provided, the Taxpayer is organized to: (1) promote the protection of children from exploitation and victimization; (2) enhance public and official awareness and understanding of the nature and extent of the problem of missing children and children victimization; (3) build a network of information sharing and public education; (4) assist individuals, groups, agencies, and state and local governments in tracking and locating missing children; and (5) conduct and sponsor forums, lectures, debates and similar programs.
You ask if the Taxpayer qualifies for the retail sales and use tax exemption provided in Code of Virginia Sec. 58.1-609.8(33).
RULING
Code of Virginia Sec. 58.1-609.8(33) provides an exemption from the retail sales and use tax for:
- tangible personal property purchased for use or consumption by a nonprofit family service organization exempt from taxation under Sec. 501(c)(3) of the Internal Revenue Code and organized (i) to preserve, strengthen, and promote healthy family life, to prevent individual and family breakdown, and address other human service needs, (ii) to help solve the problems created by homelessness, substance abuse, dysfunctional families and cultural diversity through family and multicultural counseling, neighborhood development, college intern training, special foster care and housing services, (iii) to assist families in crisis, homeless youth and the elderly by providing a variety of social services such as services on behalf of children in their own homes, group programs for predelinquent and delinquent youths, individual and family counseling, family life education, and financial assistance and legal aid, or (iv) to provide services to families including professional counseling, home care aid, treatment for domestic violence, and casework services for older adults.
Based on a review of the Taxpayer's articles of incorporation and other information, l find that the Taxpayer satisfies the criteria in Sec. 58.1-609.8(33)(1). The Taxpayer (1) preserves, strengthens and promotes healthy family life by promoting the protection of children from exploitation and victimization; (2) prevents individual and family breakdown through its programs; and (3) addresses other human service needs. Accordingly, the Taxpayer qualifies for the exemption.
Please note that the scope of this exemption is limited to tangible personal property purchased by the Taxpayer for its own use or consumption. The Taxpayer may present a copy of this letter to its vendors to make purchases exempt of the retail sales and use tax.
The exemption in Code of Virginia Sec. 58.1-609.8(33) was originally effective for the period July 1, 1995, through June 30, 1998. The 1998 General Assembly enacted legislation to extend the sunset date of the exemption to June 30, 1999.
If you have any questions regarding this matter, you may contact ***** of the department's Office of Tax Policy at *****.
Rulings of the Tax Commissioner