Tax 11.04 NoteNote: The interpretations in s. Tax 11.04 are effective under the general sales and use tax law on and after September 1, 1969, except: (a) The building materials exemption for certain sports stadiums became effective October 1, 1991, pursuant to 1991 Act 37; (b) The change of the term “gross receipts” to “sales price” and 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; (c) The building materials exemption for a facility in an electronics and information technology manufacturing zone became effective September 20, 2017, pursuant to 2017 Act 58; (d) The building materials exemption for contracts with certain exempt entities became effective January 1, 2016, pursuant to 2015 Wis. Act 126; and (e) A missing reference was added to the list of exempt entities for a local exposition district and certain title holding companies were also added to the list of exempt entities, effective September 1, 2017, pursuant to 2017 Wis. Act 231.

Tax 11.04 HistoryHistory: Cr. Register, January, 1979, No. 277, eff. 2-1-79; correction in (1) made under s. 13.93 (2m) (b) 7., Stats., Register, August, 1999, No. 524; EmR0924: emerg. am. (1), (2) (title), (3) and (5), eff. 10-1-09; CR 09-090: am. (1), (2) (title), (3) and (5) Register May 2010 No. 653, eff. 6-1-10; CR12-014: am. (1) Register August 2012 No. 680, eff. 9-1-12; CR 13-012: am. (1) Register August 2013 No. 692, eff. 9-1-13; CR 14-006: am. (1) Register August 2014 No. 704, eff. 9-1-14; CR 20-018: am. (1), cr. (1) (a) 9., am. (2), (4) Register July 2021 No. 787, eff. 8-1-21; correction in (1) (intro.) made under s. 35.17, Stats., renumber (1) (a), (b) to (1m) (a), (b) under s. 13.92 (4) (b) 1., Stats., and create (1m) (title) under s. 13.92 (4) (b) 2., Stats., Register July 2021 No. 787.

Tax 11.05(1)(1) General. Sales by the state of Wisconsin, any agency thereof and governmental units within this state are generally subject to the Wisconsin sales tax. However, sales by the United States government or any agency thereof are not taxable.

Tax 11.05(2)(b)(b) Food and gift stand sales, including sales of candy, soft drinks, prepared foods, cigarettes, tobacco products, postcards, books, magazines and other periodicals described in s. Tax 11.19, and novelties. Newspaper sales are exempt.

Tax 11.05 NoteNote: See s. Tax 11.51 for a list of food products subject to tax.

Tax 11.05(2)(d)(d) Charges for access to or use of athletic facilities such as baseball and softball diamonds, stadiums, and gymnasiums, including entry fees and any charges for lights, heat, janitor fees and equipment, when used for activities which are amusement, athletic, entertainment or recreational in nature, except as provided in sub. (3) (r), (s), (y), and (zg).

Tax 11.05(2)(gm)(gm) Sales of motor vehicles, boats, snowmobiles, recreational vehicles as defined in s. 340.01 (48r), Stats., trailers, semitrailers, all-terrain vehicles, utility terrain vehicles, off-highway motorcycles, and aircraft. Governmental units must collect the sales tax on its sales of these items. If the governmental unit does not collect the tax from the purchaser, the purchaser shall file a sales tax return and pay the tax prior to titling or registering the property in this state.

Tax 11.05(2)(i)(i) Furnishing of rooms or lodging facilities, available to the public, to any person residing for a continuous period of less than one month, except that the tax does not apply to the receipts from accommodations furnished by any hospitals, sanatoriums, nursing homes, colleges, or universities operated by governmental units and the tax does not apply to furnishing rooms or lodging to a person through the sale of any kind of time-share property.

Tax 11.05(2)(j)(j) Sales of taxable items, property, or goods dispensed through vending machines, and sales of access to or the use of amusement devices, if the governmental unit owns the machine or device or has control of the contents of the machine or the device.

Tax 11.05(2)(k)(k) Sales of soft drinks and alcoholic beverages, including sales of these items by hospitals, sanatoriums, nursing homes, retirement homes, community-based residential facilities as defined in s. 50.01 (1g), Stats., and any facility certified or licensed under ch. 48, Stats.

Tax 11.05(2)(m)(m) Sales of books and supplies, including sales by technical college districts. Sales of tangible personal property and items, property, and goods under s. 77.52 (1) (b), (c), and (d), Stats., by elementary and secondary schools are exempt under s. 77.54 (4), Stats.

Tax 11.05 NoteExamples: 1) Governmental Unit A sells a load of gravel to Individual B. Governmental Unit A dumps the gravel in a pile at Individual B’s home. Individual B will then spread the gravel and put it in its final resting place. The sale of the gravel by Governmental Unit A to Individual B is a sale of tangible personal property that is subject to Wisconsin sales or use tax.

Tax 11.05 Note2) Governmental Unit X dump spreads or gate spreads gravel on Customer Z’s driveway. Customer Z, or someone other than Governmental Unit X, will then grade, rake, and compact the materials into their final resting place. Since Governmental Unit X is not placing the gravel in its final resting place, Governmental Unit X’s sale of the gravel to Customer Z is subject to sales tax as a sale of tangible personal property.

Tax 11.05 Note3) Governmental Unit G spreads gravel on Individual H’s driveway. Governmental Unit G grades and compacts the gravel so that it is in its final resting place. Governmental Unit G’s charges to Individual H are not subject to Wisconsin sales or use tax since Governmental Unit G is performing a real property construction activity by putting the gravel in its final resting place.