Senate Bill S8478

                                 
BILL NUMBER: S8478

SPONSOR: PALUMBO
 
TITLE OF BILL:

An act to amend the tax law, in relation to granting a sales and compen-
sating use tax exemption for goods sold at school book fairs

 
PURPOSE:

This bill provides that books, magazines, pamphlets and other items sold
at school sponsored book fairs shall be exempt from the collection of
sales tax.

 
SUMMARY OF PROVISIONS:

Section 1. Adds a new tax section 1115(a) (47) to exempt from the
collection of sales taxes items such as books, magazines and other items
sold at a school sponsored book fair such as, science project kits and
posters. The book fair would need to be conducted at a primary or
secondary school and be sponsored by a parent-teacher association or
organization or booster club.
              

 
JUSTIFICATION:

School book-fairs are generally conducted by school based volunteer
organizations that are not sophisticated in organization and in ascer-
taining the proper sales tax on law cost items such as books and other
book sale items. Compounding the confusion of such sales transactions is
the high number of customers who are excited children under the age of
12 who are concentrated in a school hallway or classroom (where the
sales are generally conducted). To simplify book transaction at such
book fairs, eliminating the sales tax would reduce the time needed to
arrive at the final sales price for the books purchased. In addition,
many times children at such fairs are allocated a set monetary sum to
purchase their books. However, in arriving at the cashier, the child has
not computed the additional sales tax cost, hence, the child is over
budget and needs to select and return one of the items before conducting
the final sale. This adds additional confusion to an already confusing
situation. This bill would simply the conduct of school book-fairs.
Further, it would encourage children to purchase more books, heighten
their exposure to books, learning and minimize administrative burdens
placed on those volunteers that conduct book fairs.

 
LEGISLATIVE HISTORY:

2019-20 A.256;

2017-18 A.21;

2015-16 A.1169A;

2013-14 A.1525;

2011-12 A.325;

2009-10 A.585;

2007-08 A.3463
 
FISCAL IMPLICATIONS:

Minimal

 
EFFECTIVE DATE:
The first of January next succeeding the date on which this bill shall
have become law.