Multistate Tax Commission/Association of Fund-Raising Distributors & Suppliers   Pennsylvania

Agency: Dept. of Revenue

Contact Person: John W. Loomis

Tel. No.: (717) 787-1382

Fax No.: (717) 772-1459

  1. If your State exempts fundraising sales by certain groups from sales or use taxes, please indicate which of the following are exempt in your State.

    Public Schools (K-12) - Not exempt

    Private Schools (K-12) - See 3

    School Groups (e.g., clubs, bands, teams) - Not exempt

    PTAs - Not exempt

    PTOs - Not exempt

    Other parent groups

    (please identify) - Not exempt

    Church Groups - See 3

    Youth Sports League - Not exempt

    501 (c)(3) organizations - See 3

    501 (c)(6) organizations - Not exempt

    Other (specify: Volunteer Firemens Organizations - See 6

    1a Are local sales and use taxes in your State applied to these groups in the same manner as State sales and use taxes are applied to these groups?

    Yes

    1b Please set forth any comments including a list of groups not listed above whose fundraising activities are exempt from sales and use taxation in your State.

    None

    2.  

  2. If your State exempts fundraising sales of certain products from sales and use tax, please indicate which of the following products are exempt.

    No Exemptions Allowed

    2a Are local sales and use taxes in your State applied to these products in the same manner as State sales and use taxes are applied to these products?

    N/A

    2b Please set forth any comments including a list of products not listed above that are exempt from sales and use taxation for fundraising purposes in your State.

    None

    3.  

  3. If some or all fundraising groups or products qualify for exemption from sales and use tax in your State, please indicate any exceptions to or limitations on such exemptions. (Check all that apply and specify the limitation.)

    Limits on number of fundraiser events per year

    Limits on duration of fundraisers

    Institutions of purely public charity, which includes charitable organizations, nonprofit educational institutions, religious organizations and volunteer firemens organizations, which are registered with the Department of Revenue and hold an exemption number issued by the Department of Revenue, by regulation are permitted to make fund raising sales three times or for a total of seven days within a calendar year without collecting tax. The organization or institution is required to collect tax on sales made beyond that period of time.

    4.  

  4. If some or all fundraising groups qualify for exemption from sales and use tax in your State, please set forth the procedure through which a group may establish its qualification for the exemption. Attach relevant statutes, regulations, procedures, etc.

    The organization is required to file a completed application with the Dept. of Revenue. If approved, the organization is issued an exemption number (refix number 75) which may be used in making tax free purchases for the organization's use. The organization may purchase property for sales within the "three times and seven day rule" (see No. 3) without a sales tax license number. (See also 72 P.S. 7205 and 61 Pa. Code 32.21

    5.  

  5. If some or all fundraising products qualify for exemption from sales and use tax in your State, please set forth the procedure for establishing a product's qualification for the exemption. Attach relevant statutes, regulations, procedures, etc.

    N/A

    6.  

  6. In instances where a fundraising product or group is not exempt from sales or use tax, please indicate who bears the responsibility for collecting and remitting the tax.

    The fundraising group (e.g., school, PTA, church) and the company distributing goods to the fundraising group

    7.  

  7. In instances where a fundraising product or group is not exempt from sales or use tax, what is the basis for calculating the sales/use tax?

    Price paid by consumer to fundraising group

    8.  

  8. Provide any additional information regarding the sales and use tax treatment of fundraising transactions and/or groups in your State. Also set forth any statements, disclosures, disclaimers, etc.,to be provided as part of the clearinghouse regarding your state's practices and procedures. Attach additional sheets if necessary.

None