New University Policy Regarding Student Ticket and Merchandise Sales
Effective January 1, 2014, The NC General Assembly has changed state law regarding admission prices for “entertainment events.” Some types of ticketed events are now subject to a 6.75% sales tax.
The NC Department of Revenue has ruled that the owners of venues (i.e. any place where an entertainment event is taking place) are ultimately responsible for the collecting and remitting of sales tax for hosted events; thus, WFU must assume responsibility for the collecting and remitting of sales tax for all ticketed events on campus.
Along with this requirement, it has been determined that the university must require collection and remittance of 6.75% sales tax for merchandise sold on WFU property.
These rulings impact chartered student organizations in the following ways:
- If your organization is holding an event anywhere on campus (WFU venues) you may be required to collect and remit sales tax.
- If you organization is holding a sale of merchandise on campus (t-shirts, bake sale, etc.) you are required to collect and remit sales tax for any items sold.
- Beginning March 14, 2014, any student organization wishing to hold a sale of any kind must register the sale online here: https://wfubenson.wufoo.com/forms/student-sale-or-ticketed-event-registration/
- The treasurer of a student organization is considered the responsible party when registering a sale or ticketed event with the university.
- Organizations do not need to submit the registration form to request approval of a sale or event. The purpose of sale registration is to provide your organization with assistance in fulfilling the sales tax requirements.
What happens when you register your sale/ticketed event?
- A staff member analyzes your situation and determines whether your organization needs to collect and remit sales tax. (Some types of events are exempt.)
- You’ll receive an email advising you of your requirements and your options for methods of collecting, reporting, and remitting the tax.
- If you’re being required to collect tax, the staff member will help you understand your responsibilities and structure your pricing to either ‘build in’ the tax or add it to the ticket price.
- Based on the date(s) of your sale or event, you’ll be given a due date by which the tax should be reported and paid.
- As your due date approaches, the staff member will assist you with the preparation of your sales tax reporting and remittance.
- Sales tax payments may be made in Benson room 335. Benson staff will assure that your sales tax payment is recorded and deposited to the correct university account.
Questions? Feel free to contact (contact person or email).