Sales And Free Distribution Of Newspapers And Magazines

Sections 63-3610, 63-3612, 63-3613, 63-3619, 63-3622, 63-3622T, Idaho Code 01. Subscriptions. Subscriptions to printed newspapers and magazines are sales of tangible personal property. (7-1-26) 02. Single Copy Price. The single copy price is to be computed according to the following formula. (Published subscription price) x (Number of subscription periods in one (1) year) / (Number of issues a subscriber receives in one (1) year) = Single Copy Price. (7-1-26) 03. Subscription Price. As used in this rule, the terms published subscription price and subscription price mean the total amount charged for purchase and delivery of the newspaper and magazine, except that separately stated postage is to be excluded from the taxable subscription price. It is acceptable business practice for publishers to establish a price for their newspapers as separate weekday-only and Sunday-only issues. The provisions of this rule will be in effect in such cases. When the price is posted as a combined weekday-Sunday price, sales tax will be charged on the combined subscription price. (3-31-22) 04. Vending Machine Sales. Sales of newspapers or magazines through a vending machine are taxed computed on the retail sales price otherwise directed in Idaho Code. (7-1-26) 05. Product Consumed by the Publisher. Eight-tenths of one percent (0.8%) of net press run of newspapers or magazines, will be taxed as product consumed by the publisher. Any percentage figure below eight- tenths of one percent (0.8%) is to be supported by accepted accounting methods generally used in the publishing industry. The value of the newspapers used is set at the retail price charged to the consumer. Formula: (Eight tenths of one percent (0.8%) of Daily Net Press Run) x (Single Copy Retail Price) x (Tax Rate) / Daily Net Press Run = Tax Per Copy. (7-1-26) 06. Single Unit Price and Net Press Run. For purposes of this calculation, single copy price is the amount calculated by the formula in Subsection 033.02. Net press run is all readable, usable copies, including editorial copies, tearsheets, and archival copies, and excluding spoiled runs or printing waste. (7-1-26) 07. Free Distribution Newspapers. (7-1-26) a. Newspaper Format. The term “newspaper format” means a publication bearing a title, issued regularly at stated intervals of at least twelve (12) times a year, and formed of printed paper sheets without binding. Catalogs, advertising fliers, travel brochures, employee newsletters, theater programs, telephone directories, restaurant guides, posters, and similar publications are not publications in newspaper format. (7-1-26) b. Qualifying for Exemption. Advertisements promoting the free distribution newspaper itself don’t qualify as non-income producing informative material. Neither do logos, column headings, mastheads, borders, etc. (7-1-26) 034. (RESERVED)