Fundraising events held by a non-profit organization, licensed or not by the City, are subject to taxes. The business/tax license permits the collection of sales tax or admissions tax as appropriate.
Conducting More than Two Fundraisers Each Year
It is recommended that organizations conducting more than one or two fundraisers a year obtain the permanent business and sales and use tax license to save on licensing fees and to avoid placing a tax deposit for each event with the City. All filing requirements apply.
An Application Packet can be found by visiting or calling the Tax Office at:
7500 W. 29th Ave., First Floor
Wheat Ridge, CO 80033
Ph: (303) 235-2820
Events open to the general public for which admission is charged require collecting the 4% admissions tax and the filing of an Admissions Tax Return.
Items Given Away with Admission
Event-operator purchases of ticket stock and any items given away with admission, such as shirts, wristbands or hats, are subject to sales when they're purchased or use tax if no tax is charged when they're purchased.
Likewise, donated items given away with admission are subject to sales tax if they're purchased at retail by the donor or to use tax on the cost if they're donated by someone who bought them "exempt for resale."
The transfer of giveaway items is not the true object of admissions charges and is never considered a reselling of the items.