For those of you located inside the district-- do you charge tax for your education programs?
Our head of Finance said they should be taxed under DC law, but logically that doesn't sound right to me.
Practically everything else we offer (experience-wise) is untaxed. Why in the world would a classroom program with children be taxed?
What is everyone else doing?
Major bonus points if you know what article of DC tax law addresses it.
Thanks,
Shelly Binkley
Museum of the Bible
I reached out to our Education team and confirmed we only charge flat rate. They said they have never even considered whether or not it would need to be taxed. Would I be wrong to assume if it should be taxed it would be noticed in yearly audits?
Tim, I have no idea, but I'm going to say no, it might not be noticed in yearly audits.
I say that because, this whole discussion for me started with the discovery that we had not been charging tax on our education programs and Finance says we should have been all along. (that's also why I'm a little skeptical-- it never came up until now?)
Hopefully a few other orgs will add their two cents! Our Finance team is pretty on top of things so if we are amiss in not charging tax for these programs it might be some fairly obscure tax code!
Late to the party here - but we also only charge a flat rate for our education programs.