Tax Type
Retail Sales and Use Tax
Description
Adult day-care center
Topic
Exemptions
Date Issued
06-18-1990
June 18, 1990
Re: Request for Ruling/Sales and Use Tax
Dear ****
This will reply to your letter of May 31, 1990 in which you request a ruling on the applicability of the sales and use tax to purchases of tangible personal property by the ***** (the "Taxpayers").
FACTS
The Taxpayers are licensed by the Virginia Department of Social Services as adult day-care centers and seek exemption from sales and use taxation under Virginia Code §58.1-608(8)(j).
RULING
Virginia Code §58.1-608(8)(j) provides an exemption from the retail sales and use tax for "[t]angible personal property for use or consumption by a licensed nonprofit home for adults as defined in subsection A of §63.1-172." Virginia Code §63.1-172(A) defines "home for adults" as including "any day-care center for adults, operated or maintained for the maintenance or care of four or more adults who are aged, infirm or disabled."
Based upon the information you have provided, I find that the Taxpayers qualify for the exemption cited above. Please note that the exemption applies only to tangible personal property purchased for use and consumption by the Taxpayers.
If you have any further questions, please contact the department.
Sincerely,
W. H. Forst
Tax Commissioner
Rulings of the Tax Commissioner