23 Va. Admin. Code § 10-210-670
Current through Register Vol. 41, No. 6, November 4, 2024
The sale of a gift certificate is not taxable. When the owner of a gift certificate redeems it, in whole or in part, for tangible personal property, the transaction is a taxable sale. For example, if the owner of a gift certificate valued at $25 purchases a $15 pair of shoes, the tax on the $15 sale must be collected by the dealer and paid to the department. When the owner redeems the remaining $10 value of the certificate, the tax on the sale must be collected at that time by the dealer.
23 Va. Admin. Code § 10-210-670
Statutory Authority
§ 58.1-203 of the Code of Virginia.