In this five-part series, we will discuss the application of sales tax to popular summer destinations and activities.
Understanding Sales Tax At Concerts And Live Music Events
Summer brings a great opportunity to enjoy outdoor music events. If you’re planning to attend a concert, you might wonder about the sales tax implications. Here’s a breakdown of how sales tax typically applies to admissions and related expenses for live music events.
Sales Tax On Admissions: State And Local Regulations
General Overview of Sales Tax At Concerts
Most states and localities that tax amusements and admissions also apply this tax to concerts and similar live music events:
- Illinois: Does not impose a state-level tax on admissions, but Chicago does. The state also taxes beverages and other goods sold at events.
- Louisiana and New Orleans: Both impose sales tax on admissions to concerts.
- New York: Taxes admissions generally but excludes concerts from this tax. New York City follows the same rules.
Exemptions And Special Considerations
Nonprofit Events
In some cases, events held by nonprofits may be exempt from sales tax. It’s essential to verify whether the specific concert or live music event you plan to attend falls under this exemption.
Additional Costs: Parking, Food, And Lodging
Beyond the cost of admission, be aware of other expenses associated with attending a concert:
- Parking
- Food
- Lodging
These costs often receive variable sales tax treatment depending on the jurisdiction.
Stay Informed For A Smooth Experience
Understanding sales tax on concerts and related expenses can help you better plan for your event. Make sure to check local regulations and additional costs to ensure you’re fully prepared. Enjoy the music, and let Clarus Partners assist with any tax-related questions.