Arkansas Administrative Code
Agency 006 - Department of Finance and Administration
Division 05 - Division of Revenues
GROSS RECEIPTS TAX RULES
Rule 006.05.06-005-GR-35 - EXEMPTIONS FROM TAX - SCHOOLS

A. There is no general exemption that applies to all sales to school districts or public schools. There is no general exemption that applies to sales by school districts or public schools. However, there are certain specific exemptions that apply to schools and school districts that are addressed or referenced in this rule.

B. TEXTBOOKS AND INSTRUCTIONAL MATERIALS. For sales of textbooks and instructional materials see GR-69.

C. SALES OF FOOD. Sales of food or food ingredients or prepared food in public, common, high school, or college cafeterias and lunchrooms that are operated primarily for teachers and pupils and not operated for profit or for the general public are exempt from sales tax. Any kindergarten, middle school, junior high school, high school, or college that operates a cafeteria or lunchroom primarily for teachers and pupils and not for the general public and that is not operated for profit is not required to collect tax on its sales of food or food ingredients or prepared food.

D. PTA/PTO FUNDRAISING. For special rules pertaining to fundraising see GR-24.

E. SCHOOL BUSES AND MOTOR VEHICLES. For sales of school buses or motor vehicles see GR-34.