Sec. 4. (a) A person is a retail merchant making a retail transaction when the person rents or furnishes rooms, lodgings, or other accommodations, such as booths, display spaces, banquet facilities, and cubicles or spaces used for adult relaxation, massage, modeling, dancing, or other entertainment to another person:
(1) if those rooms, lodgings, or accommodations are rented or furnished for periods of less than thirty (30) days; and
(2) if the rooms, lodgings, and accommodations are located in:
(A) a hotel, motel, inn, tourist camp, tourist cabin, gymnasium, hall, coliseum, or other place, where rooms, lodgings, or accommodations are furnished for consideration; or
(B) a house, condominium, or apartment in which rooms, lodgings, or accommodations are rented or furnished for transient residential housing for consideration.
(b) Each rental or furnishing by a retail merchant under subsection (a) is a separate unitary transaction regardless of whether consideration is paid to an independent contractor or directly to the retail merchant.
(c) For purposes of this section, "consideration" includes a membership fee charged to a customer.
(d) Notwithstanding subsection (a), a person is not a retail merchant making a retail transaction if:
(1) the person is a promoter that rents a booth or display space to an exhibitor; and
(2) the booth or display space is located in a facility that:
(A) is described in subsection (a)(2); and
(B) is operated by a political subdivision (including a capital improvement board established under IC 36-10-8 or IC 36-10-9) or the state fair commission.
This subsection does not exempt from the state gross retail tax the renting of accommodations by a political subdivision or the state fair commission to a promoter or an exhibitor.
(e) The gross retail income derived from a transaction to which this section applies is equal to the total amount of consideration paid by the purchaser, including the payment of any fee (including a facilitation fee), commission, or other charge by the retail merchant (including a marketplace facilitator), except that the gross retail income does not include any taxes on the transaction that are imposed directly on the consumer.
(f) A marketplace facilitator who is considered a retail merchant under section 18 of this chapter for a transaction to which this section applies shall collect and remit innkeeper's taxes imposed under IC 6-9 on the retail transaction.
As added by Acts 1980, P.L.52, SEC.1. Amended by P.L.93-1987, SEC.1; P.L.85-1989, SEC.1; P.L.20-1990, SEC.7; P.L.181-2016, SEC.19; P.L.108-2019, SEC.109.
Structure Indiana Code
Article 2.5. State Gross Retail and Use Taxes
Chapter 4. Retail Transactions of Retail Merchant
6-2.5-4-3. Water Softening and Conditioning Business
6-2.5-4-5. Power Subsidiaries of Public Utilities
6-2.5-4-8. Governmental Entities; Private or Proprietary Activities
6-2.5-4-11. Cable Television Service; Satellite Television or Radio Service
6-2.5-4-12. Auction Sales; Exceptions
6-2.5-4-13. Definition of Retail Merchant Making Retail Transaction
6-2.5-4-14. Notice; Proposed Public Vendors; Identification of Delinquent Taxpayers
6-2.5-4-15. Bundled Transactions
6-2.5-4-16.2. Aircraft Leasing or Renting and Flight Instruction Services
6-2.5-4-16.4. Specified Digital Products
6-2.5-4-16.7. Prewritten Computer Software