Kentucky Sales And Use Tax Exemption On Purchases
The Sales and Use tax does not apply to purchases of tangible personal property or services made for use solely in the University function. The exemption applies only to sales made directly to the University. Universities are exempt from tax on purchases which are used within the educational function of the institutions. Organized athletics conducted by an exempt educational institution are an integral part of the educational activities and the exemption is extended to the purchase of athletic equipment and supplies by such institutions. The University's exemption number must be supplied to vendors to be retained in their records as evidence of non-taxable sales. Every invoice should show the University's exemption number. Use of the Sales Tax Exemption number for the benefit of an employee or other individual is punishable by fine and/or imprisonment.