Is the fee a garnet-mine tour operator charges for scheduled tours and lectures on local mining history, gemology, and geology subject to New York sales tax as an admission charge?

Plain-English summary

Bonnie J. Barton operates the Gore Mountain Mineral Shop, which offers the public scheduled, closely scripted tours and lectures covering local garnet-mining history, gemology, geology, and present-day mining operations, delivered by trained employees away from the retail shop. There's no charge to enter the general premises or gift shop, but there is a charge to attend the scheduled tour/lecture — advertised as "Garnet Mine Tours," including a rock exhibit and garnet collection, with a discount coupon offering one dollar off the admission charge. She asked whether these tour/lecture charges are subject to sales tax.

The Department said yes. New York taxes "admission charges" to any "place of amusement" (Tax Law § 1105(f)(1)), and a place of amusement is defined broadly as anywhere facilities for entertainment, amusement, or sports are provided. Citing a prior court decision (Fort William Henry Corp. v. State Tax Commission), the opinion notes that a facility's status as a provider of amusement isn't weakened just because what it presents also has historic or educational value — so the fact that the tour is genuinely educational doesn't take it outside the tax.

The only relevant exemption is for admission to live dramatic or musical arts performances — but the regulations specifically say that exemption doesn't reach variety shows, magic shows, circuses, or similar performances, and a scripted mine tour/lecture isn't a dramatic performance in that sense either. So the charge for the tour and lecture is a taxable admission charge, full stop.

What this means for you

Tour operators, museums, and educational-attraction businesses

Don't assume that because your attraction is educational or historical, it escapes the admissions tax — New York's "place of amusement" definition is broad and reaches historic/educational content squarely. The dramatic-or-musical-arts exemption is narrow and doesn't cover guided tours or informational lectures, however well-produced or scripted.

Businesses combining a free area with a paid experience

Charging nothing to enter a retail or general area (like this shop's gift shop) doesn't exempt a separately charged, scheduled paid experience (the tour/lecture) that happens elsewhere on the property — the Department looked at the tour/lecture charge on its own.

Accountants and tax professionals

This opinion is a clean, short illustration of the "place of amusement" test and the narrow scope of the dramatic/musical-arts exclusion — useful for any client running guided tours, historical reenactments, or similar scripted educational experiences for a fee.

Common questions

Q: Are educational tours exempt from sales tax because they're educational?
A: No. A facility's amusement-tax status isn't reduced by its content having historic or educational value, per the Fort William Henry precedent cited in this ruling.

Q: What is exempt from New York's admission-charge tax?
A: Only admission to live dramatic or musical arts performances (theater, opera, concerts) — and even that exemption specifically excludes variety shows, magic shows, circuses, and similar acts.

Q: Does charging separately for a gift shop and a tour change the analysis?
A: No — the tour/lecture charge is analyzed as its own admission charge to a place of amusement regardless of whether the adjoining retail area is free to enter.

Q: Can another attraction rely on this ruling?
A: No — it's limited to this operator's specific facts (a scripted mine tour and lecture); a different attraction with different content or format should confirm its own tax treatment.

Citations and references

Statutes and regulations:

• Tax Law § 1101(d)(2) (admission charge definition), § 1101(d)(5) (dramatic/musical arts admission charge), § 1101(d)(10) (place of amusement)
• Tax Law § 1105(f)(1) (admission charge tax and dramatic/musical arts exemption)
• 20 NYCRR § 527.10 (admission charges; place-of-amusement examples; exclusions, incl. Example 5)

Cases referenced:

• Fort William Henry Corp. v. State Tax Commission, 52 AD2d 664, 381 NYS2d 907

Source

• Landing page: https://www.tax.ny.gov/pubs_and_bulls/advisory_opinions/sales_ao_2003.htm
• Opinion: https://www.tax.ny.gov/pdf/advisory_opinions/sales/a03_39s.pdf

Original ruling text

New York State Department of Taxation and Finance

Office of Tax Policy Analysis
Technical Services Division

TSB-A-03(39)S
Sales Tax
November 18, 2003

STATE OF NEW YORK
COMMISSIONER OF TAXATION AND FINANCE
ADVISORY OPINION

PETITION NO. S030507A

On May 7, 2003, the Department of Taxation and Finance received a Petition for Advisory
Opinion from Bonnie J. Barton, P.O. Box 30, North River, New York, 12856.
The issue raised by Petitioner, Bonnie J. Barton, is whether charges and fees for mining
lectures and tours are subject to sales tax.
Petitioner submitted the following facts as the basis for this Advisory Opinion.
Petitioner operates the Gore Mountain Mineral Shop. Petitioner offers to the public tours
of garnet mines and lectures about local mining, history, gemology, and geology. In addition,
Petitioner operates a gift shop for patrons to visit whether or not they attend the lecture.
The lectures offered by Petitioner are performed on a scheduled basis. The content of the
lectures and their delivery is closely scripted. As advertised, each lecture covers local mining
history, gemology, geology and present-day operations. Lectures are performed away from the retail
shop. Petitioner has never charged admission to enter the general premises. The only charge made
is to attend the scheduled lectures performed by trained employees as part of the tour. Petitioner
submitted training materials and advertisements along with her Petition.
Petitioner’s advertisements clearly state “Garnet Mine Tours.” A tour of the mine site
includes a rock exhibit, garnet collection and a lecture about gemology, mining history and present
day operations. The advertisement itself is a discount coupon providing one dollar off the admission
charge.
Applicable law and regulations
Section 1101(d) of the Tax Law provides, in part:
When used in this article for purposes of the tax imposed under subdivision (f) of
section eleven hundred five, the following terms shall mean:
*

*

*

(2) Admission charge. The amount paid for admission, including any service charge
and any charge for entertainment or amusement or for the use of facilities therefor.
*

*

*

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(5) Dramatic or musical arts admission charge. Any admission charge paid for
admission to a theatre, opera house, concert hall or other hall or place of assembly for a live
dramatic, choreographic or musical performance.
*

*

*

(10) Place of amusement. Any place where any facilities for entertainment,
amusement, or sports are provided.
Section 1105(f)(1) of the Tax Law imposes sales tax upon:
Any admission charge where such admission charge is in excess of ten cents to or
for the use of any place of amusement in the state, except charges for admission to . . .
dramatic or musical arts performances. . . .
Section 527.10 of the Sales and Use Tax Regulations provides, in part:
(b) Definitions. (1) Admission charge.
(i) The amount paid for admissions, season ticket or subscription to any place
of amusement, including any service charge and any charge for entertainment or
amusement or for the use of facilities therefor.
*

*

*

(2) Dramatic or musical arts admission charge. Any admission charge to a theater,
opera house, concert hall or other hall or place of assembly for a live dramatic,
choreographic or musical performance. (Emphasis added)
(3) Place of amusement. Any place where any facilities for entertainment,
amusement, or sports are provided. Such places include without limitation
(i) a theatre of any kind, concert hall, opera house, or other place where a
performance is given;
(ii) fairground or exhibition hall or grounds;
(iii) golf course, athletic field, sporting arena, gymnasium, bowling alley,
shooting gallery, swimming pool, bathing beach, skating rink, tennis court, handball
court, billiard hall or other place for athletic exhibits. . . .
*

*

*

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(d) Admissions excluded from tax.
*

*

*

(2) Charges for admission to dramatic or musical arts performances are excluded
from tax. Dramatic and musical arts performances do not include variety shows, magic
shows, circuses, animal acts, ice shows, aquatic shows and similar performances.
(Emphasis added)
*

*

*

Example 5: A show is composed of several acts in which performers dressed as
story-book characters, appearing with musical accompaniment, portray scenes from
books, and invite audience participation. This does not qualify as a dramatic or
musical arts presentation. (Emphasis added)
Opinion
Petitioner offers to the public regularly scheduled tours and lectures about local mining,
history, gemology, geology and present-day operations of a garnet mine. The content of the lectures
and their delivery are closely scripted. Petitioner does not charge admission to enter the general
premises, but does charge for the lectures performed by trained employees. Petitioner’s
advertisements refer to “Garnet Mine Tours,” and indicate that the tour includes a rock exhibit,
garnet collection and mine history and geology lecture. The advertisement also provides a one
dollar discount off the admission charge. Based on these facts, it appears that Petitioner charges
patrons for admission to a tour of the garnet mine, which includes a lecture.
Petitioner’s mine tours meet the definition of a place of amusement. See section 1101(d)(10)
of the Tax Law. In Fort William Henry Corp. v State Tax Commission, 52 AD2d 664, 381 NYS2d
907, the court stated that “The status of this facility as a provider of amusement or entertainment,
as those terms are commonly understood, is certainly not weakened merely because the matters
presented may also be of historic and educational significance.” Therefore, Petitioner’s charges for
mine tours and lectures are admission charges to or for the use of a place of amusement, although
the content of the lectures is historical and educational.
Admission charges for dramatic or musical performances are exempt from sales tax, but
Petitioner’s mine tours and lectures cannot be considered to be live dramatic performances. For
purposes of section 1105(f)(1) of the Tax Law, dramatic or musical performances do not include
variety shows, magic shows, circuses, or similar performances. See section 527.10(d)(2) of the
Sales and Use Tax Regulations. Clearly, not all live performances qualify for the exemption
provided by section 1105(f)(1) of the Tax Law. In the present case, Petitioner’s mine tours and

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lectures are not in the nature of a dramatic performance. Therefore, Petitioner’s charges for
admission to the mine tours and lectures are subject to sales tax under section 1105(f)(1).

DATED: November 18, 2003

NOTE:

/s/
Jonathan Pessen
Tax Regulations Specialist IV
Technical Services Division

The opinions expressed in Advisory Opinions are
limited to the facts set forth therein.