Ark. Code Ann. § 26-52-430: Charitable organizations

(a) The exemptions stated in this subchapter for a charitable organization shall not extend to sales of new tangible personal property, specified digital products, or a digital code by the charitable organization if the sales compete with sales by for-profit businesses. (b) A sale by a charitable organization does not compete with a sale by a for-profit business if: (1) The sales transaction is conducted by a member of the charitable organization and not by a franchisee or licensee; (2) All the proceeds derived from the sales transaction go to the charitable organization; and (3) The sales transaction is not: (A) A continuing one; or (B) Held more than ten (10) times a year. (c) (1) The provisions of this section shall not apply to a sale made by a nonprofit hospital, a cafeteria at a nonprofit hospital, or a gift shop at a nonprofit hospital, whether operated by the hospital, a hospital auxiliary, or other nonprofit organization. (2) The provisions of this section shall also not apply to a gift shop operated by a charitable organization at a for-profit hospital. Amended by Act 2021, No. 807,§ 1, eff. 7/28/2021. Amended by Act 2017, No. 141,§ 30, eff. for tax years beginning on and after 1/1/2018. Amended by Act 2017, No. 665,§ 1, eff. 10/1/2017. Acts 1999, No. 1062, § 1; 2001, No. 628, § 1.

(a) The exemptions stated in this subchapter for a charitable organization shall not extend to sales of new tangible personal property, specified digital products, or a digital code by the charitable organization if the sales compete with sales by for-profit businesses.

(b) A sale by a charitable organization does not compete with a sale by a for-profit business if: (1) The sales transaction is conducted by a member of the charitable organization and not by a franchisee or licensee; (2) All the proceeds derived from the sales transaction go to the charitable organization; and (3) The sales transaction is not: (A) A continuing one; or (B) Held more than ten (10) times a year.

(1) The sales transaction is conducted by a member of the charitable organization and not by a franchisee or licensee;

(2) All the proceeds derived from the sales transaction go to the charitable organization; and

(3) The sales transaction is not: (A) A continuing one; or (B) Held more than ten (10) times a year.

(A) A continuing one; or

(B) Held more than ten (10) times a year.

(c) (1) The provisions of this section shall not apply to a sale made by a nonprofit hospital, a cafeteria at a nonprofit hospital, or a gift shop at a nonprofit hospital, whether operated by the hospital, a hospital auxiliary, or other nonprofit organization. (2) The provisions of this section shall also not apply to a gift shop operated by a charitable organization at a for-profit hospital.

(1) The provisions of this section shall not apply to a sale made by a nonprofit hospital, a cafeteria at a nonprofit hospital, or a gift shop at a nonprofit hospital, whether operated by the hospital, a hospital auxiliary, or other nonprofit organization.

(2) The provisions of this section shall also not apply to a gift shop operated by a charitable organization at a for-profit hospital.