State of Rhode Island - Division of Taxation

Sales and Use Tax

Regulation SU 97-120

Sales by Rhode Island Non Profit Eleemosynary Organizations and Schools

Rhode Island nonprofit eleemosynary organizations formed to sponsor and support youth activities are exempted from the requirement to charge, collect and remit the sales tax on items sold for not more twenty dollars ($20.00) each when such items are sold for the purposes of supporting such youth activities.

Such organizations are liable, except as otherwise provided by law, for the sales/use tax on all other items purchased by them. Similarly, such organizations are required to charge and collect the sales tax on items sold at more than twenty dollars ($20.00) each and on all items sold for purposes other than the support of youth activities which such organization is formed to sponsor and support.

Additionally, accredited elementary and secondary schools are relieved of the requirement to charge, collect and remit the sales tax on items sold for not more than twenty dollars ($20.00) each when such items are sold for the purpose of such schools or for the organized activities of the students enrolled therein.

Such schools are liable, except as otherwise provided by law, for the sales/use tax on all other items purchased by them. Similarly, such schools are required to charge and collect the sales tax on items sold at more than twenty dollars ($20.00) each and on all items sold for purposes other than the purpose of such schools or of organized activities of the students enrolled therein.

The special provisions described above may not be transferred, granted or delegated to other persons acting as agents for the organizations or schools or to private concessionaires.

R. GARY CLARK
TAX ADMINISTRATOR

EFFECTIVE: January 1, 1997

THIS REGULATION AMENDS AND SUPERCEDES REGULATION SU 87-120 PROMULGATED MAY 1, 1987.