| (a) Definitions. The following words and terms, when used in
this section, shall have the following meanings, unless the context clearly
indicates otherwise.
(1) Amusement services--Entertainment, recreation, sport, pastime,
diversion, or enjoyment that is a pleasurable occupation of the senses. Amusement
services and places that offer amusement services include, but are not limited
to, the following:
(A) live or recorded performances, whether by individual ticket
or by season tickets:
(i) ballet performances;
(ii) circuses;
(iii) ice skating shows;
(iv) motion pictures;
(v) musical concerts;
(vi) opera performances;
(vii) outdoor theatres; and
(viii) theatres (movies and plays);
(B) exhibitions or displays:
(i) animal shows (contests, exhibitions);
(ii) antique shows;
(iii) aquatic shows;
(iv) arts and crafts, and art shows (fairs);
(v) auto shows;
(vi) museums (that display art objects, wax figures, antique
autos, etc.); and
(vii) zoos;
(C) spectator sports:
(i) drag strip operation;
(ii) horse shows (horse riding exhibitions);
(iii) motorcycle races;
(iv) automobile races (full size and miniature cars);
(v) rodeo;
(vi) sporting events such as football, baseball, basketball,
hockey, and soccer games; and
(vii) wrestling, boxing, or arm wrestling;
(D) participatory sports or games:
(i) athletic clubs;
(ii) bowling games;
(iii) court fees--tennis, racketball, handball, etc.;
(iv) domino games (including by the hour);
(v) go-cart raceways;
(vi) golf courses;
(vii) golf driving ranges;
(viii) health clubs (spas), (admissions and memberships);
(ix) miniature golf courses;
(x) chartered boat or party boat excursions (see paragraph
(2) of this subsection for excursions of more than one day duration, and for
excursions on which fishing guide services are provided);
(xi) pool (billiards) games (by the game or by the hour);
(xii) skate board tracks;
(xiii) skating rinks (roller skating and ice skating);
(xiv) swimming pools;
(xv) water slides; and
(xvi) physical fitness centers;
(E) fairs or carnivals:
(i) amusement parks;
(ii) carnivals;
(iii) fairs;
(iv) games of skill, at a circus, carnival, etc.;
(v) shooting galleries (ranges); and
(vi) side shows;
(F) other:
(i) except as provided by subsection (e)(4) of this section,
cover charges (for admission to night clubs, dance halls, discos, etc., that
provide dancing, music, or other entertainment);
(ii) hot tub concessions;
(iii) parties (New Year's Eve) that radio stations, hotels,
etc., sponsor. Ticket price includes meal, set-ups, entertainment, party favors;
(iv) rides for pleasure (in hot-air balloons, helicopters,
trains, ships, boats, etc.);
(v) tour trains and buses, whose primary purpose is to show
tourist sights along a route, as opposed to regular transportation;
(vi) tours of tourist attractions, including ships, buildings,
monuments, and natural wonders such as caves and caverns; and
(vii) palm reading, fortune telling, and astrological chart
preparation;
(G) country clubs and other private clubs and organizations
that provide entertainment, recreation, sports, dining, or social facilities
to members.
(2) Nonamusement services--Activities that are primarily instructional
in nature, or nontaxable personal services. Places, services, and clubs that
the tax on amusement services does not cover include, but are not limited
to:
(A) hobby clubs (stamp collecting clubs, toastmaster clubs,
camera clubs, amateur radio clubs);
(B) instructions for any sport or musical discipline;
(C) camps for children (day camps or boarding camps);
(D) video cassette clubs;
(E) political fundraisers;
(F) campground admissions;
(G) cruises that last longer than 24 hours and extend offshore
beyond Texas territorial limits;
(H) fishing and hunting leases and guide services; and
(I) membership in sororities and fraternities.
(3) Occasional sale--The sale of not more than 10 admissions
for amusement services during a 12-month period by a person who does not hold
himself out as engaging, or does not habitually engage, in the sale of amusement
services.
(4) Provider of an amusement service--The person who has legal
rights of ownership over, or the legal right to provide, present, or offer,
an amusement, entertainment, or recreation that is rendered on a regular basis
at a fixed location, and for which admissions are sold, such as the owner
of the wax figure display at a wax museum. The provider of an amusement service
is also the person who has legal rights of ownership to an amusement, entertainment,
or recreation that will not be rendered on a regular basis at a fixed location,
and for which amusement service admissions will be sold, such as the provider
of a singer's one-night live performance. A provider of an amusement service
may be, but is not always, the owner of the facility (land and/or building)
at which the amusement service is offered or performed. A provider of an amusement
service may gain the right of providing an amusement service by virtue of
a contract or agreement (lease, rental, concession right) with the performer(s)
of the entertainment, or with a facility owner when the use of that facility
constitutes the amusement service. Terms used within the amusements industry
to refer to a provider include manager, promoter, concessionaire, tenant,
or association (or club) president.
(5) Sales price of an amusement service--The fee charged for
admission to an amusement, including a convenience fee, handling charge, service
charge, or other amount that is over and above the amount that would be charged
for an amusement admission at the ticket counter of the facility at which
the amusement service will be rendered. Sales price also includes dues, initiation
fees, and other charges, assessments, and fees required for a special privilege,
status, or membership classification in a private club or organization. Receipts
subject to tax under the Texas Alcoholic Beverage Code, §202.02, are
not included in the sales price of an amusement service.
(6) Sales price of membership to country clubs, including clubs
described by the Internal Revenue Code of 1986, §501(c)(7)--The sales
price includes dues, initiation fees, and other charges, assessments, and
fees required for a special privilege, status, or membership classification
in a private club or organization. Whether the club has its own facilities
is irrelevant to the determination of sales price. Receipts subject to tax
under Texas Alcoholic Beverage Code, §202.02, are not included in the
sales price of an amusement service.
(7) Seller of admissions to amusement services--A person who
sells more than 10 admissions to amusement services during a 12-month period,
and includes those persons who hold themselves out as engaging, or who habitually
engage, in the sale of admissions to amusement services.
(8) Sale of an amusement service admission--The transfer of
title to, or possession of, a ticket or other admission document for consideration,
or the collection of an admission, membership, or enrollment fee, whether
by individual performance, subscription series, or membership privilege, or
through the use of a coin-operated or credit-card-operated machine. The consideration
paid may secure the admission privilege for an individual or a group of individuals.
The contract or agreement whereby the right is secured for a provider to offer
an amusement, recreation, or entertainment as an amusement service is not
the sale of an admission to an amusement service and is not subject to sales
tax, such as the payment of a fee to a singer for a performance that the payer
of the fee will provide as an amusement service through the sales of tickets.
Cont'd... |
