(a) There is levied a tax at a rate equal to the rate of tax levied on the sale of tangible personal property at retail by § 67-6-202 on the sales price of each sale at retail of the following:
Terms Used In Tennessee Code 67-6-212
Business: includes occasional and isolated sales or transactions of aircraft, vessels, or motor vehicles between corporations and their members or stockholders and also includes such transactions caused by the merger, consolidation, or reorganization of corporations. See Tennessee Code 67-6-102
Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
Personal property: includes money, goods, chattels, things in action, and evidences of debt. See Tennessee Code 1-3-105
Personal property: All property that is not real property.
Sale: includes the furnishing of any of the things or services taxable under this chapter. See Tennessee Code 67-6-102
sale at retail: means any sale, lease, or rental for any purpose other than for resale, sublease, or subrent. See Tennessee Code 67-6-102
Sales price: includes consideration received by the seller from third parties, if: (i) The seller actually receives consideration from a party other than the purchaser, and the consideration is directly related to a price reduction or discount on the sale. See Tennessee Code 67-6-102
Tangible personal property: includes electricity, water, gas, steam, and prewritten computer software. See Tennessee Code 67-6-102
Use: means and includes the exercise of any right or power over tangible personal property incident to the ownership thereof, except that it does not include the sale at retail of that property in the regular course of business. See Tennessee Code 67-6-102
(1) Dues or fees to membership sports and recreation clubs, including free or complimentary dues or fees, when such are made in connection with a valuable contribution to any such establishment or organization, which shall have the value equivalent to the charge that would otherwise have been made, including any fees paid for the use of facilities or services rendered at a health spa or club or any similar facility or business;(2) Sales of tickets, fees or other charges made for admission to or voluntary contributions made to places of amusement, sports, entertainment, exhibition, display or other recreational events or activities, including free or complimentary admissions when made in connection with a valuable contribution to any organization or establishment holding or sponsoring such activities which shall have the value equivalent to the charge that would have otherwise been made;(3) Charges made for the privilege of entering or engaging in any kind of recreational activity, when no admission is charged spectators, such as tennis, racquetball or handball courts; and(4) Charges made for the privilege of using tangible personal property for amusement, sports, entertainment or recreational activities such as trampolines, golf carts, bowling shoes, skates or other sports and athletic equipment.(b) Free or complimentary dues or fees which shall have the value equivalent to the charge that would have otherwise been made shall be taxed under this section, unless such free or complimentary dues or fees are provided to persons who attend a public school or public college or university.(c) This section shall not be construed to levy a tax on any sale or transfer of any interest in real property, regardless of whether or not such property is used for amusement or recreational purposes. This section shall not be construed to levy a tax on any sale or transfer of any ownership interest in tangible personal property, regardless of whether or not such property is used for amusement or recreational purposes.(d) The provisions of this section taxing charges for admission shall be construed to include all charges whatsoever made for admission to professional sporting events, including any charge for a seat license, skybox, luxury suite, or any other accommodation for spectators, whether styled as a license, lease, rental or otherwise.(e) The tax imposed by this section shall not apply to the amount of any privilege tax levied pursuant to § 7-3-202.
