Tax 11.62 Note
Note: Refer to s.
Tax 11.002 for a description of permit requirements, how to apply for a permit and the 15-day time period within which the department is required to act on permit applications.
Tax 11.62 Note
Note: Refer to s.
Tax 11.33 for additional information relating to occasional sales.
Tax 11.62(3)(a)
(a) A barber or beauty shop operator's purchases of tangible personal property, items, property, and goods under s.
77.52 (1) (b),
(c), and
(d), Stats., and taxable services, which when resold are exempt occasional sales under sub.
(2) (b) are taxable purchases of property, items, goods, and services.
Tax 11.62(3)(b)
(b) Persons who register and collect sales tax under sub.
(2) (a) may purchase tangible personal property, such as hair pieces, for resale without paying tax by issuing their supplier a properly completed exemption certificate, claiming resale.
Tax 11.62(3)(c)
(c) Tangible personal property and items, property, and goods under s.
77.52 (1) (b),
(c), and
(d), Stats., purchased by a barber or beauty shop operator and used in providing services are subject to sales or use tax.
Tax 11.62(3)(d)
(d) If a barber or beauty shop operator gives an exemption certificate claiming resale for tangible personal property or items, property, or goods under s.
77.52 (1) (b),
(c), or
(d), Stats., to a supplier and then uses or consumes the property, item, or good in providing services, the barber or beauty shop operator is liable for use tax at the time the property, item or good is first used in a taxable manner.
Tax 11.62 Note
Note: The interpretations in s.
Tax 11.62 are effective under the general sales and use tax law on and after September 1, 1969; except (a) the separate impositions of tax on coins and stamps sold above face value under s.
77.52 (1) (b), Stats., certain leased property affixed to real property under s.
77.52 (1) (c), Stats., and digital goods under s.
77.52 (1) (d), Stats., became effective October 1, 2009, pursuant to
2009 Wis. Act 2 and (b) The threshold for exempt occasional sales was changed to less than $2,000 in annual sales, effective for sales beginning January 1, 2018, pursuant to
2017 Wis. Act 59.
Tax 11.62 History
History: Cr.
Register, August, 1976, No. 248, eff. 9-1-76; am. (1) (b),
Register, August, 1985, No. 356, eff. 9-1-85; r. and recr.,
Register, March, 1991, No. 423, eff. 4-1-91;
EmR0924: emerg. am. (2) and (3), eff. 10-1-09;
CR 09-090: am. (2) and (3)
Register May 2010 No. 653, eff. 6-1-10;
CR 20-018: am. (2) (b)
Register July 2021 No. 787, eff. 8-1-21.
Tax 11.63
Tax 11.63
Radio and television stations. Tax 11.63(1)(1)
Nontaxable products and services. Sales of the following products and services are not subject to the sales and use tax:
Tax 11.63(1)(c)
(c) Motion picture film or tape, and motion pictures or radio or television programs for listening, viewing, or broadcast, and advertising material related to such film or tape or programs, which are sold, leased, or rented to a motion picture theater or to a radio or television station.
Tax 11.63(1)(d)
(d) The lease of space on a broadcast tower if the radio or television station owns both the broadcast tower and the land on which the tower is located.
Tax 11.63(2)(a)(a) Charges by a radio or television station for art work, slides, films, tapes, or other tangible personal property or items, property, or goods under s.
77.52 (1) (b),
(c), and
(d), Stats., which the station prepares or produces for its advertisers or sponsors are subject to the sales and use tax. The charges are taxable even though a station may retain possession of the tangible personal property or item, property, or good under s.
77.52 (1) (b),
(c), or
(d), Stats., because “sale" is defined to include the transfer of not only title to and possession of tangible personal property and items, property, and goods under s.
77.52 (1) (b),
(c), and
(d), Stats., but also the transfer of enjoyment of tangible personal property and items, property, and goods under s.
77.52 (1) (b),
(c), and
(d), Stats. If an advertiser maintains any control over the tangible personal property or item, property, or good under s.
77.52 (1) (b),
(c), or
(d), Stats., prepared or produced, such as the right to determine when the property, item, or good will be used for advertising purposes, the advertiser is deemed to have received the enjoyment of the property, item, or good.
Tax 11.63(2)(b)
(b) Sales from a radio or television auction are subject to the sales and use tax.
Tax 11.63 Note
Example: A radio station has a program where the announcer places items of merchandise of local retailers or sponsors up for bid to the station's listeners. The successful bidder, chosen by the radio station, delivers the purchase price of the merchandise to the radio station and receives a purchase certificate that allows him to redeem the merchandise from the retailer or sponsor. The purchase money is retained by the radio station, although the retailer is compensated by the station for its participation in the form of radio advertising. The radio station is subject to sales tax on the receipts from the program.
Tax 11.63(2)(c)
(c) When a radio or television station advertises on behalf of persons to sell merchandise or taxable services, the station is a marketplace provider and shall collect and remit tax on the sales if the station directly or indirectly, through agreements or arrangements with third parties, processes the payment from the purchaser for the retail sale, regardless of whether the station receives compensation or other consideration in exchange for the services provided by the station.
Tax 11.63(2)(d)
(d) Charges by a radio or television station for access to a website that provides news or other information products. This is the sale of an additional digital good, regardless of whether sold for a one-time use or sold on a subscription.
Tax 11.63(2)(f)
(f) The lease of space on a broadcast tower if the radio or television station owns the broadcast tower, but does not own the land on which the broadcast tower is located.
Tax 11.63(3)(a)(a) Purchases of the following products and services are not subject to the sales and use tax:
Tax 11.63(3)(a)1.
1. Products exempt from the sales and use tax under s.
77.54 (23m), Stats., including sales of blank or raw video or audio tapes to television or radio stations.
Tax 11.63(3)(a)2.c.
c. Graphics generators used to prepare weather forecasts and other on-screen graphics for a newscast.
Tax 11.63(3)(a)2.i.
i. Radio modulation monitoring equipment to ensure that the signal is compliant with the legal requirements.
Tax 11.63(3)(a)2.L.
L. Equipment used at mobile news sites by camera persons and reporters, such as cameras, data cards to store video images, microphones, headsets, and two-way radios.
Tax 11.63(3)(a)2.m.
m. Motor vehicles, including microwave and satellite trucks and other vehicles used solely to bring reporters, camera persons, and other personnel to a location where live or recorded material is filmed or transmitted back to the radio or television station.
Tax 11.63(3)(b)2.
2. Property that is not used directly in the manner described in par.
(b), such as desks and chairs where program material is drafted, surge protectors and external power supplies for equipment, backup servers, and general lighting.
Tax 11.63(3)(b)3.
3. Property that is not used exclusively in the manner described in par.
(b), such as servers used to store current and archived program material, computer software used to draft program material and to create station advertising materials, and an intercom system to communicate with the studio and others in the building.
Tax 11.63(3)(b)4.
4. Property that is used in the transmission of finished program material, such as transmitters and antennas used to transmit signals.
Tax 11.63(3)(b)5.
5. Fuel and electricity used in providing building heating, cooling, air conditioning, communications, general lighting, safety and fire prevention, storage, sales, advertising or administrative department activities, or used in transmitting the final program material.
Tax 11.63(4)
(4)
Taxable purchases. Radio and television stations are consumers of equipment, materials, and supplies used to conduct their businesses and shall pay sales or use tax on purchases of this tangible personal property and items, property, and goods under s.
77.52 (1) (b),
(c), and
(d), Stats., except as provided in sub.
(3).
Tax 11.63(5)
(5)
Broadcasting towers. Commercial broadcasting towers constituting the transmission antenna system of a radio or television station are deemed, for sales and use tax purposes, either real estate improvements if installed on land owned by the station or tangible personal property if installed on land owned by others. Contractors engaged in construction of broadcasting towers that are real estate improvements are the consumers of building materials used by them in constructing, altering, or repairing those towers and shall pay tax on the cost of the materials. Contractors engaged in construction of broadcasting towers that are tangible personal property may purchase materials used by them in constructing, altering, or repairing those towers without tax for resale. The charge by the contractor to the purchaser is subject to tax.
Tax 11.63 Note
Note: The interpretations in s.
Tax 11.63 are effective under the general sales and use tax law on and after September 1, 1969, except (a) the separate impositions of tax on coins and stamps sold above face value under s.
77.52 (1) (b), Stats., certain leased property affixed to real property under s.
77.52 (1) (c), Stats., and digital goods under s.
77.52 (1) (d), Stats., became effective October 1, 2009, pursuant to
2009 Wis. Act 2 and (b) the exemption for tangible personal property and property under s.
77.52 (1) (c), Stats., used in the origination and integration of certain program material became effective July 1, 2014, pursuant to
2013 Wis. Act 346.
Tax 11.63 History
History: Cr.
Register, December, 1977, No. 264, eff. 1-1-78; am. (2) (a) and (c) (intro.), (3), (4) and (5),
Register, June, 1991, No. 426, eff. 7-1-91;
EmR0924: emerg. am. (1) (intro.), (b), (2) (a), (b), (c) 2., (3), (4) and (5), eff. 10-1-09;
CR 09-090: am. (1) (intro.), (b), (2) (a), (b), (c) 2., (3), (4) and (5)
Register May 2010 No. 653, eff. 6-1-10;
CR 16-053: am. (1) (intro), cr. (1) (c), (d), (2) (d), (e), r. (3), cr. (3)
Register June 2018 No. 750, eff. 7-1-18; correction in (3) (a) 1. made under s.
35.17, Stats.,
Register June 2018 No. 750;
CR 22-044: renum. (2) (c) (intro.) to (2) (c) and am., r. (2) (c) 1., 2. Register June 2023 No. 810, eff. 7-1-23. Tax 11.64(1)(1)
General. Persons in the business of providing background music commonly utilize one or both of the methods set forth below. The sales and use tax consequences depend upon the method used.
Tax 11.64(2)
(2)
Music played at central studio. The receipts from the furnishing of background music to business, industry, and others from a central studio over telephone circuits or by FM radio are subject to the sales or use tax as a digital audio work. The persons who provide such service are the consumers of the tapes, tape players, transmitters, and other tangible personal property and items, property, and goods under s.
77.52 (1) (b),
(c), and
(d), Stats., used to provide the service, and their purchases of these items, as well as telecommunication services from the telephone company, are taxable. In addition, the receipts from equipment leased or rented to the customer as part of providing this service are taxable. An exemption for resale may be claimed on the purchase of such leased or rented equipment, if the equipment is used exclusively for lease or rental and if the customer has the option of receiving the digital audio work from the retailer, without also being required to purchase, lease, or rent the equipment from that same retailer.
Tax 11.64(3)
(3)
Music played by customer. The lease, rental, hire or license to use all tangible personal property and items, property, and goods under s.
77.52 (1) (b),
(c), and
(d), Stats., comprising a background music system are taxable when the system is operated by the customer. Any charge for installing the system is taxable. The sale of the tapes, equipment, and other tangible personal property and items, property, and goods under s.
77.52 (1) (b),
(c), and
(d), Stats., to the person providing the system (e.g., the lessor or licensor) is exempt as a sale for resale, if the equipment is used exclusively for lease, license, or rental.
Tax 11.64 Note
Note: The interpretations in s.
Tax 11.64 are effective under the general sales and use tax law on and after September 1, 1969, except that the separate impositions of tax on coins and stamps sold above face value under s.
77.52 (1) (b), Stats., certain leased property affixed to real property under s.
77.52 (1) (c), Stats., and digital goods under s.
77.52 (1) (d), Stats., became effective October 1, 2009, pursuant to
2009 Wis. Act 2.
Tax 11.64 History
History: Cr.
Register, September, 1977, No. 261, eff. 10-1-77;
EmR0924: emerg. am. (2) and (3), eff. 10-1-09;
CR 09-090: am. (2) and (3)
Register May 2010 No. 653, eff. 6-1-10.
Tax 11.65(1)(a)(a) The sale of admissions to amusement, athletic, entertainment, or recreational events or places and the furnishing for dues, fees or other considerations, the privilege of access to clubs or the privilege of having access to or the use of amusement, entertainment, athletic, or recreational facilities are taxable. This includes admissions to movies, ballets, musical and dance performances, ball games, campgrounds, circuses, carnivals, plays, hockey games, ice shows, fairs, snowmobile and automobile races, and pleasure tours or cruises.
Tax 11.65(1)(b)
(b) The sales tax applies to the receipts of organizations which have as an objective the supplying of amusement, athletic, entertainment, or recreational facilities to their members such as country clubs, golf clubs, athletic clubs, swimming clubs, yachting clubs, tennis clubs, and flying clubs. Taxable sales include the sale, furnishing or use of recreational facilities on a periodic basis and other recreational rights, including but not limited to membership rights, vacation services, and club memberships. The proceeds received from initiation fees, special assessments, dues, and stock sales of clubs supplying amusement, athletic, entertainment, or recreational facilities to members are charges for the privilege of obtaining access to the clubs and are taxable receipts of the clubs.
Tax 11.65(1)(c)
(c) Admissions to customer participation events such as swimming, skiing, bowling, skating, bingo, golfing, curling, dancing, card playing, hayrides, hunting, fishing, and horseback or pony riding, including entry fees for leagues, tournaments, and contests, are taxable.
Tax 11.65(1)(d)
(d) The charge for the privilege of fishing in fish ponds is taxable, even if the charge is based in whole or in part on the pounds or size of fish caught. The charge for the privilege of hunting in shooting preserves, pheasant farms, and fenced area bird and animal farms is also taxable, even if the charge is based in whole or in part on the number of game birds or animals taken.
Tax 11.65(1)(e)
(e) A person who provides boat, tackle, bait, and guide service provides a combination of recreational items which are subject to the tax, but guide service alone is not taxable.
Tax 11.65(1)(f)
(f) The sales tax applies to the receipts from conducting bingo games.
Tax 11.65(1)(g)
(g) The receipts from the sale or furnishing of access to campgrounds, other than Wisconsin state park campgrounds, are taxable, whether the fees are collected on a daily, weekly, annual, or other basis.
Tax 11.65(1)(h)
(h) The sale of admissions to pleasure tours and cruises, including a cruise originating in Wisconsin by boat on a body of water on the border of Wisconsin, is taxable regardless of whether a portion of the cruise takes place on out-of-state waters.
Tax 11.65(2)
(2)
Nontaxable sales. The following are nontaxable admissions:
Tax 11.65(2)(a)
(a) The dues of civic, fraternal, religious, patriotic, and lodge type organizations which are not organized for the purpose of furnishing amusement, athletic, entertainment, or recreational facilities to their members.
Tax 11.65(2)(b)
(b) Admissions to museums of history, art, or science, and to auto or trade shows, if professional entertainment is not provided at the show. Also, all admission fees to any museum operated by a nonprofit corporation under a lease agreement with the state historical society, such as the circus world museum.
Tax 11.65(2)(c)
(c) Admissions to antique shows unless the admission charge can be used as a credit against the price of merchandise purchased.
Tax 11.65(2)(d)
(d) Entry fees in contests if the primary motive of the majority of the persons entering the contest is “business" and not “recreation." Generally, entry fees are not taxable for:
Tax 11.65(2)(d)4.
4. Large snowmobile races where the entrants are primarily manufacturers' representatives.
Tax 11.65(2)(e)
(e) The sales price from the sales of tangible personal property, items, property, and goods under s.
77.52 (1) (b),
(c), and
(d), Stats., tickets or admissions by any baseball team affiliated with the Wisconsin department of American legion baseball.
Tax 11.65(2)(g)
(g) Admissions to events conducted by nonprofit organizations when the event does not involve entertainment as provided in s.
77.54 (7m), Stats., the organization is not engaged in a trade or business as defined in s.
77.54 (7m), Stats., and the organization is not otherwise required to hold a seller's permit.
Sales of admissions to events conducted by a nonprofit organization that otherwise meets the requirements of s.
77.54 (7m), Stats., are not subject to tax, even if the nonprofit organization holds a seller's permit solely for the purpose of conducting bingo games.
Tax 11.65(2)(h)
(h) Admissions to places or events located outside Wisconsin.
Tax 11.65(2)(i)
(i) Sales of and admissions to time-share property as follows:
Tax 11.65(2)(i)1.
1. The furnishing of rooms or lodging to a person for a continuous period of less than one month through the sale of any kind of time-share property.
Tax 11.65(2)(i)2.
2. The sale, furnishing, or use of recreational facilities on a periodic basis and of other recreational rights, including membership rights, vacation services, and club memberships, with respect to time-share property, if the facilities are not available to persons who have not purchased the time-share property, other than guests.
Tax 11.65(2)(j)
(j) Sales of admissions by a nonprofit organization to participate in any sports activity in which more than 50 percent of the participants are 19 years old or younger.
Tax 11.65(2)(k)
(k) Sales of admissions by a gun club, including the sale of a gun club membership, if the gun club is a nonprofit organization and if the gun club provides safety classes to at least 25 individuals in the calendar year.
