1. (a) With the exception of Rev 702.04(a), meals prepared and sold by a nonprofit organization other than a qualified educational organization shall not be subject to tax if:

   1. (1) The meals are prepared and sold in furtherance of any of the nonprofit organization’s purposes for which it was organized; and
   2. (2) The net proceeds of the meals sold are used exclusively for the purposes of the nonprofit organization.

2. (b) Meals provided on the premises of a nonprofit organization operated exclusively for religious or charitable purposes shall not be subject to tax if:

   1. (1) The meals are provided in furtherance of any of the nonprofit organization’s purposes for which it was organized; and
   2. (2) The net proceeds of the meals sold are used exclusively for the purposes of the nonprofit organization.

Source. #2205, eff 12-12-82; ss by #2504, eff 10-12-83; ss by #3181, eff 1-22-86; ss by #4061, eff 5-29-86; ss by #5399, eff 5-21-92; ss by #5912, eff 10-14-94; ss by #6750, eff 5-19-98; ss by #8653, eff 6-8-06; ss by #10714, eff 11-7-14 (from Rev 702.02); ss by #13077, eff 7-25-20; ss by #14105, eff 10-29-24, EXPIRES: 10-29-34 (formerly Rev 702.03)