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

Agency: Dept. of Administration/Div. of Taxation

Contact Person: Wayne Swanson

Tel. No.: (401) 222-6316

Fax No.: (401) 222-6314

  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.

    No Exemptions Allowed with the Exception of:

    Sale of items for not more than $20 each by nonprofit Rhode Island Eleemosynary organizations for the purpose of youth activities, which the organization is formed to sponsor and support, and be accredited RI elementary and secondary schools for the purpose of those schools or of organized activities of their students.

    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?

    N/A

    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.

    See exception above.

  2.  

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

Candies and Confections -Not exempt (3)

Cookies and Other Baked Goods - Exempt

Cheese Products- Exempt

Meat Products - Exempt

Nuts, popcorn and other snack food - Exempt (1)

Other edible items (please identify)

Magazine subscriptions - Not exempt (3)

Paper products (e.g., calendars, cards

stationery, books, gift wrap) - Not exempt (3)

Decorative tins, baskets, other containers - Not exempt (3)

Decorative novelties (mugs, ornaments) - Not exempt (3)

Sundry items (please specify item below) - Not exempt

Clothing - Exempt (not accessories)

Jewelry - Not exempt (3)

Plant and seeds - Not exempt (2 & 3)

Other hard good items - Not exempt

  1. Taxable if in combination with chocolate, sugar, honey, candy or other confectionery.
  2. Seeds and plants of a kind the products of which ordinarily food for human consumption are exempt.
  3. Exempt under exception listed under Q1.

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.

N/A

 

  1. 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 dollar amount of each item - See exception listed under Q1.

  2.  

  3. 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.

    N/A

  4.  

  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.

    See attached copy of R.I.G.L. 44-18-30 (32)* along with Regulations SU 87-50 and SU 87-13.

    From the sale, storage, use or other consumption I this state of sales of items for not more than $20 each by nonprofit Rhode Island eleemosynary organizations, for the purpose of youth activities which such organization is formed to sponsor and support; and by accredited elementary and secondary schools for the purpose of organized activities of the students enrolled therein.

  6.  

  7. 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

    If a resale certificate is not provided by the fundraising group, the company distributing the goods to the fundraising group is responsible.

  8.  

  9. 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 fundraising group to distributor (if a resale certificate is not provided by the fundraising group, the distributors seling price to the fundraising group is the basis for calculating the sales/use tax) and

    Otherwise, price paid by consumer to fundraising group

  10.  

  11. 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.