Most Political Campaign Merchandise Is Taxable: Key Sales Tax Facts for 2026 Campaigns

• Most political campaign merchandise is subject to sales tax in most states, regardless of political status.
• Section 527 organizations are exempt from income tax, not sales tax.
• Campaigns often trigger multi-state tax obligations through nationwide sales and out-of-state fulfillment.
• Many campaigns mistakenly assume merchandise sales are tax-exempt if considered donations.
• Risks include under-collecting sales tax, filing errors, and receiving state notices during election season.

Source: taxcloud.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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