Sales Tax Policy

Last updated: January 3, 2023

Sales tax on services

Many nonprofits’ charitable services should not be taxed. If they were, nonprofits would have to increase their fees, and fewer people would be able to afford nonprofits' essential services, even when they are priced below the cost of providing them. 

State Policy

  • Encourage inclusion of nonprofits’ input on any expansion of sales tax to services, and generally oppose imposition of sales tax on services provided by nonprofits.
  • Support clarification that nonprofits are not required to collect and remit sales tax on their fundraising events and educational events.