EVENT ACCOUNTING & SALES
TAX REQUIREMENTS
Kirk Eck, CPA
Cook Martin Poulson, PC
jke@cookmartin.com
(435) 750-5566
UTAH SALES TAX
UTAH CODE 59 REVENUE & TAXATION
PUBLICATION 25
www.tax.utah.gov/sales
Sales & Use Taxes are transaction taxes
- Buyer is the taxpayer
- Trust Fund Tax – seller holds funds in trust
- Sales/use tax are the same thing (generally)
- Do you owe use tax?
WHAT AT YOUR EVENT IS
SUBJECT TO SALES TAX?
- Registration Fees
- All products SOLD at an event including T-shirts,
socks, hats, food & beverages, etc.
WHAT TYPE OF LICENSE:
PERMANENT, TEMPORARY OR
BOTH?
PERMANENT SALES TAX
LICENSE
License: “Established Presence” “Fixed Place”
- Submit form TC-69 for acct. #
(All online sales occur at your Fixed Place)
TEMPORARY EVENT LICENSE
- Required if sales are NOT at your fixed location.
- All events with multiple vendors must have a
temporary license.
- Events with day-of sales in a location other than
sellers fixed location must have temporary license.
- Temporary License covers all vendors on location.
- Form TC-790C due 10 days after event.
- Good for only one event.
- State Special Events Unit (801) 297-6303
WHAT IF I DON’T FILE/PAY?
Failure to File Penalty: The greater of $20 or 10% of
tax due.
Failure to Pay Penalty: The greater of $20 or 10% of
tax due after 90 days.
Interest is charged
Temporary license non-filing penalty is $40
UTAH SALES TAX FORMS
TC-62S Single Place of Business
TC-62M Multiple Places of Business
Schedule A allocates among locations
TC-790C Temporary Special Event form
Get forms at: tax.utah.gov/forms
Forms can be filed and tax paid online:
taxexpress.utah.gov
WHEN DO I FILE?
Permanent License: If total annual sales are less
than $1,000, file annually.
If annual sales are $1,000-50,000, file quarterly.
If annual sales exceed $50,000, file monthly.
Temporary Event Licenses must file within 10
days of the event.
RECORD KEEPING
All records and documentation for sales and/or
purchases used in calculating your sales tax
liability must be kept for 3 Years from the date
the return was filed.
GENERAL ACCOUNTING
TIPS
Use an accounting system, even if it’s just a self
created excel file.
Analyze results, compare year-to-year, tax
preparation.
CHART OF ACCOUNTS
Account
Balance Sheet
Zions Checking
Zions Savings
Equipment
Accumulated Depreciation
Accounts Payable
Payroll Liabilities
Owner 1 Equity
Owner 1 Draws
Owner 2 Equity
Owner 2 Draws
Type of Account
Bank
Bank
Fixed Asset
Fixed Asset
Accounts Payable
Other Current Liability
Equity
Equity
Equity
Equity
Income Statement
Entry Fees
Refunds
Sponsorship
Advertising
Bank Service Charges
Club Sponsor/Volunteers
Income
Income
Income
Expense
Expense
Expense
Computer and Internet Expenses
Course Aquisition
Course Preparations
Expense
Expense
Expense
Meetings
Depreciation Expense
Directors Meetings
Equipment Rental
Finance Fees
Expense
Expense
Expense
Expense
Expense
Insurance Expense
Expense
Interest Expense
Expense
Legal & Professional Fees
Expense
Licenses & Permits
Expense
Meals and Entertainment
Expense
Office Supplies
Expense
Outside Services
Expense
Event Management
Expense
Fuel Reimbursement
Expense
Officials
Expense
Portable Toilets
Expense
Registration
Expense
Timing/Results
Expense
Traffic Control
Expense
Payroll Expenses
Expense
Postage
Expense
Printing
Expense
Prizes & Awards
Expense
Cash
Expense
Merchandise
Expense
Trophies
Expense
Race Supplies
Expense
Registration Swag
Expense
Repairs and Maintenance
Expense
Travel Expense
Expense
Lodging
Expense
Mileage Reimbursement
Expense
Web Site
Expense
EMPLOYEES OR
INDEPENDENT
CONTRACTORS?
Mutual Understanding/IRS Guidelines
Employee: Withhold taxes, pay payroll taxes &
file quarterly payroll forms, W2, (use W4)
Independent Contractor: Issue Form 1099MISC if
over $600 (Use W9)
WHICH BUSINESS ENTITY?
Sole Proprietor: pay the most tax, no liability
protection, file Schedule C
Partnership: no liability protection, possible tax
savings, file Form 1065
LLC: liability protection, possible tax savings, file
Schedule C, Form 1065 or Form 1120S
S-Corporation: liability protection, possible tax
savings, must pay wages to owners/officers, file
Form 1120S and payroll reports quarterly