Are subscription receipts for newspapers, magazines, and periodicals mailed to Kansas subscribers subject to Kansas sales or use tax?

Plain-English summary

The question was how Kansas sales tax applies to subscriptions for newspapers, magazines, periodicals, trade journals, and other publications. The Department ruled that the subscription receipts are taxable.

Subscriptions are sales of tangible personal property. The Department quoted the core imposition statute, K.S.A. 79-3603(a), which taxes "the gross receipts received from the sale of tangible personal property at retail within this state." A subscription to a printed publication is a sale of that tangible property.

The taxable pattern the Department described. "When subscriptions for newspapers, magazines, periodicals, trade journals, and publications are taken within the state of Kansas, sent to a printer or publishing house, whether inside or outside Kansas, and where the publication is thereafter mailed to a subscriber within Kansas, the receipts from the respective subscriptions would be subject to the appropriate Kansas sales/use tax." In other words, where the subscription originates in Kansas and the publication is delivered to a Kansas subscriber, the receipts are taxed - regardless of whether the printer or publisher is inside or outside the state.

The governing regulation. The Department enclosed a copy of K.A.R. 92-19-12, the administrative regulation that "covers the sales taxation of newspapers, magazines, periodicals, trade journals and publications," for the details of how the tax applies.

Bottom line: subscription receipts for these publications, taken in Kansas and mailed to Kansas subscribers, are subject to Kansas sales or use tax as sales of tangible personal property.

What this means for you

Publishers and subscription sellers

If you sell subscriptions to Kansas customers and mail the printed publications to Kansas addresses, the subscription receipts are subject to Kansas sales or use tax. Collect and remit accordingly.

It does not matter where the publication is printed

The Department applied the tax whether the printer or publishing house is inside or outside Kansas. What matters is that the subscription is taken in Kansas and the publication is mailed to a subscriber in Kansas.

Check the regulation for specifics

K.A.R. 92-19-12 is the administrative regulation covering how the tax applies to newspapers, magazines, periodicals, trade journals, and publications; consult it for the mechanics.

Common questions

Q: Are newspaper and magazine subscriptions taxable in Kansas?
A: Under this ruling, yes. Subscription receipts for newspapers, magazines, periodicals, trade journals, and other publications are subject to Kansas sales or use tax when taken in Kansas and mailed to a Kansas subscriber.

Q: Does it matter if the publisher is out of state?
A: No. The Department applied the tax whether the printer or publishing house is inside or outside Kansas, so long as the subscription is taken in Kansas and delivered to a Kansas subscriber.

Q: Which regulation governs?
A: K.A.R. 92-19-12 covers the sales taxation of newspapers, magazines, periodicals, trade journals, and publications.

Citations and references

• K.S.A. 79-3603(a) - imposes Kansas sales tax on "the gross receipts received from the sale of tangible personal property at retail within this state." Subscriptions for printed publications are sales of tangible personal property, so subscription receipts (taken in Kansas and mailed to Kansas subscribers) are subject to Kansas sales or use tax. The Department pointed to administrative regulation K.A.R. 92-19-12 for the specifics.

Source

• Landing page: Kansas Department of Revenue Policy Information Library
• Original document: P-2000-069

Original ruling text

Private Letter Ruling

Body:

Office of Policy & Research

December 15, 2000

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Dear Ms. TTTTTTTT:

We wish to acknowledge receipt of your letter dated June 19, 2000, regarding the application of Kansas Retailers’ Sales tax.

K.S.A. 79-3603(a) imposes a sales tax upon: “The gross receipts received from the sale of tangible personal property at retail within this state. . .”

Please be advised that when subscriptions for newspapers, magazines, periodicals, trade journals, and publications are taken within the state of Kansas, sent to a printer or publishing house, whether inside or outside Kansas, and where the publication is thereafter mailed to a subscriber within Kansas, the receipts from the respective subscriptions would be subject to the appropriate Kansas sales/use tax.

For your convenience, I have enclosed a copy of K.A.R. 92-19-12, which covers the sales taxation of newspapers, magazines, periodicals, trade journals and publications.

This is a private letter ruling pursuant to K.A.R. 92-19-59. It is based solely on the facts provided in your request. If it is determined that undisclosed facts were material or necessary to an accurate determination by the department, this ruling is null and void. This ruling will be revoked in the future by the operation of law without further department action if there is a change in the statutes, administrative regulations, or case law, or published revenue ruling, that materially effects this private letter ruling. If I may be of further assistance, please contact me at your earliest convenience at (785) 296-7776.

Sincerely yours,

Thomas P. Browne, Jr.
Tax Specialist

TPB

Enc

Date Composed: 12/19/2000 Date Modified: 10/11/2001

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