A bill that would have exempted sales of goods and services at youth athletic sports facilities from sales tax (HB 1148) did not pass out of the fiscal committee before the cut-off deadline. Like several proposals that added to the state’s budget shortfall, it will not be moving forward this session.

Bill to exempt sales of goods at youth athletic facilities

January 24, 2025

Sales of goods and services at youth athletic sports facilities would be exempt from sales tax under a proposed bill.

HB 1148 would exempt goods and services from state and local sales taxes at nonprofit indoor or outdoor facilities or portions of facilities that are primarily used for competitive youth sporting events. To qualify as a nonprofit youth athletic facility, it must be run by a nonprofit organization with a 501(c)(3) tax exemption.

AWC has some concerns with the potential impact of the local sales tax exemption in the current version of the bill. Jurisdictions with large facilities may rely on the local sales taxes to finance and maintain these facilities.

Date to remember

HB 1148 is scheduled for a hearing in the House Finance Committee on Thursday, January 30 at 1:30 pm.