vision2020
sales tax at Moscow Renaissance Fair
For the first time, the state of Idaho is enforcing the sales tax
requirement at the Moscow Renaissance Fair.
The state has created a new form (ST-124) to collect sales tax from both the
craft booths and the food booths at fairs across Idaho.
I can see the sense of having individual entrepreneurs (like the artisans
who sell their handmade wares at the Moscow Renaissance Fair) pay sales tax
as if they were operating a little storefront for the 2 days of the fair.
They are making money for themselves, and competing with established stores.
What does not make sense to me is to make the non-profit community groups
that sell food at the Moscow Renaissance Fair pay the sales tax as well.
Food at the Moscow Renaissance Fair is only sold by local non-profit groups.
The fair has created this opportunity for local groups to raise the money
they need. Because of their food sales at the fair, the local Boy Scout
troop has purchased new camping gear, to cite just one example.
The problem is that the sales tax is charged on the total sales, not just
the profit. If the group sells $2000 worth of food at the fair, but paid
$1000 for the ingredients, it has earned $1000 for its program. But with
the 5% sales tax charged on its $2000 worth of sales ($100),it actually has
earned only $900.
It does not seem to me that the enforcement of this sales tax requirement
for non-profit groups selling food at the Moscow Renaissance Fair is a good
idea.
I wonder what our Representatives think of this? BL
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