Bill to exempt small campaign merchandise sales from itemized reporting introduced

Rep. Joe Alfieri introduced RS-32571 to clarify campaign reporting for sales of merchandise such as T-shirts and hats and to exempt small merchandise sales from itemized reporting requirements.

Alfieri described the proposal as allowing candidates to report merchandise sales in bulk rather than reporting each individual transaction. He said candidates would still be required to report overall proceeds to the Secretary of State but would not need to report each item sold. "You do have to report it to the Secretary of State, so we're not getting around reporting requirements," Alfieri said.

In response to questions, Alfieri said the bill would exempt those sales from reporting under Chapter 36, Title 63 and that sales tax would not be required to be collected from buyers at the point of sale under the proposal. He characterized $200 per purchaser as a reasonable transaction limit for the bulk-reporting exemption.

Committee members asked whether sales tax would be paid when a candidate purchases merchandise for resale and how the $200 threshold would apply to multiple small transactions or bulk sales to a single purchaser. Alfieri said a merchant selling the merchandise would generally collect sales tax at the point of purchase, and the RS does not change underlying campaign reporting code except to allow bulk reporting for qualifying transactions.

Representative Palmer moved to introduce RS-32571; the committee approved introduction by voice vote and the motion carried.