The tax owed to the state is the same whether calculated as a separate charge or on a tax-included basis. Also unlike the sales and use tax, exemption certificates are not valid for the admissions and amusement tax. Since the tax is imposed on the host of the activity rather than on the consumer, the exemption does not apply. Deductions are not permitted for prizes, cost of goods sold or other expenses. Also, the gross receipts from sales of tickets to political fundraisers are not subject to tax.
Most subdivisions impose the tax on free admission tickets or tickets sold at a reduced charge.
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