98-057
Response August 11, 1998
REQUEST
LETTER
August 11, 1998
Re: Account Number #####
Dear Sirs:
I am the Coordinator of the COUNTY District Swimming
Pools. My department HS been regularly
paying state sales taxes on open lunge admissions and on rental use income of
such items as balls and floating devices.
I am asking that my program be exempt from state
sales taxes for the following reasons: 1.)
The open plunge (public swimming) program loses money every year-our
open plunge program lost over $$$$$ last year even with admission fees from the
public. 2.) The open plunge program is subsidized by mill levy taxes-this is
in a way double taxation. The public is
charged another tax (sales tax) after being charge a mill levy tax in the first
place. 3.) The money the pools take in from renting equipment is used to buy
supplies for the pools and to replace the rental equipment.
In all, public swimming pools do not make a
profit. It costs our district $$$$$ an
hour to keep a pool running. This is
subsidized by mill levy tax money. I
feel that the COUNTY District Swimming Pools should not have to pay a sales tax
on admission fees to our open plunge program or for public rental use
fees. I would appreciate your due
consideration of this request. Thank
you.
Sincerely,
NAME
COUNTY
September
30, 1998
NAME
COUNTY
RE: Sales
Tax on Granite School District’s Swimming Pool Admission Charges
Dear NAME,
We
have received your request for an advisory opinion concerning the application
of sales tax on COUNTY School District’s charges for admission and rental of
equipment at its swimming pools. You
have specifically asked the Tax Commission to exempt these charges from sales
tax and have offered several reasons why you believe an exemption is in the
public’s interest.
We
appreciate your situation and the reasons you give asking for an
exemption. However, no matter how
persuasive an argument for sales tax exemption, the Tax Commission is not
empowered to create an exemption. We
may only administer those sales tax exemptions that have been enacted by the
State Legislature. Currently, no
exemption exists that would apply to COUNTY swimming pool charges. Should you wish to pursue an exemption for
these charges, you would need to do so through the legislative process.
Please
contact us if you have any other questions.
For
the Commission,
Joe
B. Pacheco, CPA
Commissioner
^^