96-065
Response
April 25, 1996
Request
W.
Val Oveson
Office
of the Commission
210
North 1950 West
Salt
Lake City, Utah 84134
Dear
Val:
Thanks
for coming out and hunting with us. We all enjoyed visiting with you and XXXXX.
At
this time we request a written advisory opinion. Should we charge sales tax on the
pheasants that we sell to shoot? We purchase these birds as day old chicks and
raise them until they ale released as adult birds.
At
the present time we are charging sales tax, however; there are many other
hunting preserves who are not. This puts us at a disadvantage in the market
place. A ruling to clarify the situation would be appreciated.
Sincerely
XXXXX
XXXXX
RE: Advisory opinion - sales tax on pheasants
Dear
XXXXX
We
have received your request for an opinion pertaining to the application of
sales tax to sales of pheasants to hunters who patronize your club. Your letter does not describe how you charge
your customers, but we assume that XXXXX charges hunters a fee for access to
the hunting preserve. The access fee is
taxable as a charge for admission for a recreational activity. Some hunting clubs or preserves include in
the access fee a limited right to take a set number of birds. Whether this charge is included in the
access fee or assessed separately in the form of a “bird card” or permit, it is
part of the taxable admissions charge.
XXXXX
must pay sales tax on its purchases of birds or other personal tangible
property that will be consumed in the process of providing recreational
activities.
If
you have other questions that we have not addressed here, please contact us
again.
For the Commission,
Alice Shearer,
Commissioner