Arkansas Administrative Code › Agency 006 - Department of Finance and Administration › Division 05 - Division of Revenues › GROSS RECEIPTS TAX RULES › Rule 006.05.06-005-GR-49.1 - SPECIAL EVENTS: EXCEPTION TO ISOLATED SALES EXEMPTION

Current through Register Vol. 49, No. 6, June, 2024
A. The isolated sale exemption does not apply
				to items sold at special events. Promoters or organizers of special events must
				register with the Department and obtain either a sales tax permit (if they do
				not already have one) or a sales tax reporting number. The Department will then
				provide the promoter with packets of materials which are to be handed out to
				each vendor at the beginning of the special event. The packets will include a
				Sales Tax Report Schedule, a List of Cities and Counties with Local Sales and
				Use Tax (along with the applicable tax rates), and an envelope for Sales Tax
				Remittance. Vendors that do not have a retail sales tax permit must collect
				sales tax on all sales and report and pay the tax to the promoter at the end of
				the event. The promoter should always make certain that he has provided each
				vendor with his name and address. The vendor must make his or her check payable
				to the Department of Finance and Administration and place the check, along with
				the reporting form, into the envelope provided by the promoter. The envelope is
				then turned in to the promoter who will forward the report and payment to the
				Department by the 20th of the month following the month in which the event
				ends.
B. Special event vendors who
				hold sales tax permits will continue to report their sales to the Sales and Use
				Tax Section and by providing their permit number to the promoter will not be
				required to report and pay the tax to the promoter.
C. Vendors who are a church or nonprofit,
				charitable organization, are not required to collect the tax under this
				provision. However, charitable organizations whose sales compete with
				for-profit businesses are required to collect the tax. (See
				GR-39(C).)
D. DEFINITIONS.
1. "Promoter" or "Organizer" means a person
				who organizes or promotes a special event which results in the rental,
				occupation or use of any structure, lot, tract of land, motor vehicle, sample
				or display case, table, or any other similar items for the exhibition and sale
				of tangible personal property by special events vendors.
2. "Special Event Vendor" means a person
				making sales of tangible personal property at a special event.
3. "Special Event" means an entertainment,
				amusement, recreation or marketing event which occurs at a single location on
				an irregular basis and where tangible personal property is sold. Such special
				events include auto shows, boat shows, gun shows, knife shows, craft shows,
				flea markets, carnivals, circuses, bazaars, fairs, art, or other merchandise
				displays or exhibits. Special events do not include any county, district, or
				state fair or the Four States Livestock Show that has been approved, pursuant
				to the rules and regulations of the Arkansas Livestock and Poultry Commission,
				to receive state funds.