Do youth teams pay sales tax?

[john1]

I can't figure out for the life of me anywhere about youth sports teams (softball, soccer) paying sales tax or not.

I have a run of decals for a local soccer team and was wondering. I'm pretty sure they are non-profit but want to be 100%.

Anyone know?

 

[2B]

Unless they provide a tax exempt form they pay tax.

there is no guessing because if you don't charge tax and the IRS says they pay then you get in trouble.

 

[Gino]

^ ^ + 1 ^ ^

 

[ucmj22]

This is generally how I figure tax status.
1) are they a registered tax exempt organization with supplied documentation? tax=NO
2) are they reselling your product with supplied reseller documentation? tax=NO
3) anyone else? tax=YES

 

[FireSprint.com]

This is generally how I figure tax status.
1) are they a registered tax exempt organization with supplied documentation? tax=NO
2) are they reselling your product with supplied reseller documentation? tax=NO
3) anyone else? tax=YES

These guys are all right - but just to beat a dead horse. If they don't give you documentation from your state that give them some kind of exempt status, then you need to charge them sales tax.

http://business.marylandtaxes.com/taxinfo/salesanduse/exemption/default.asp

What they tell you is completely irrelevant without the appropriate documentation.

Also (it works this way in Nebraska) if they are in fact sales tax exempt, and they pay sales tax when they shouldn't have, they should be able to file for a refund - so even if you are in the wrong, they aren't really out any $$$ if they're on top of their paperwork.

 

[john1]

Thank ya's!

 

[binki]

In California EVERYONE pays sales tax except:
The State
Resellers with a valid sellers permit when the goods are for resale
Those with an exemption certificate (very rare here)

That is it.

A common misconception is non-profits do not pay sales tax here. That is not true.