Agricultural fairs

From the 2024 DOR Tax Exemption Study

82.04.335 - Agricultural fairs Description Bona fide agricultural fairs are exempt from B&O tax if no part of the net earnings benefit any stockholder or member of the association conducting the fair. Income from admissions to specific exhibits, entertainment or other business activities conducted within the fairgrounds by third parties is taxable. Purpose Supports agricultural fairs by reducing the costs to run the fairs. Taxpayer ($ in millions): savings FY 2024 FY 2025 FY 2026 FY 2027 State Taxes $0.444 $0.448 $0.452 $0.457 Local Taxes $0.000 $0.000 $0.000 $0.000 Repeal of Repealing this exemption would increase revenues. exemption Potential ($ in millions): revenue gains FY 2024 FY 2025 FY 2026 FY 2027 from full repeal State Taxes $0.000 $0.411 $0.452 $0.457 Local Taxes $0.000 $0.000 $0.000 $0.000 Assumptions - This repeal takes effect July 1, 2024, and impacts 11 months of collections in fiscal year 2025. - Growth rate mirrors the population growth rate reflected in the Office of Financial Management’s April 2022 population forecast. - Fair admissions will return to near pre-pandemic levels. Data Sources - Office of Financial Management, April 2022 population forecast - Washin