Stricken language would be deleted from and underlined language would be added to present law.
Act 329 of the Regular Session
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State of Arkansas 1
95th General Assembly A Bill 2
Regular Session, 2025 SENATE BILL 200 3
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By: Senator K. Hammer 5
By: Representative Hawk 6
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For An Act To Be Entitled 8
AN ACT TO INCLUDE TEXTBOOKS AND OTHER INSTRUCTIONAL 9
MATERIALS THAT ARE LEASED IN THE EXEMPTION FROM THE 10
GROSS RECEIPTS TAX; AND FOR OTHER PURPOSES. 11
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Subtitle 14
TO INCLUDE TEXTBOOKS AND OTHER 15
INSTRUCTIONAL MATERIALS THAT ARE LEASED 16
IN THE EXEMPTION FROM THE GROSS RECEIPTS 17
TAX. 18
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BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 20
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SECTION 1. Arkansas Code § 26 -52-437(a)(2), concerning the definition 22
of "instructional materials" as it relates to the exemption of textbooks and 23
other instructional materials from the gross receipts tax, is amended to read 24
as follows: 25
(2) “Instructional materials” does not include: 26
(A) Items purchased or leased for use in: 27
(i) Interscholastic extracurricular activities; or 28
(ii) Administration or maintenance of a school; or 29
(B) Construction materials or supplies. 30
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SECTION 2. Arkansas Code § 26 -52-437(b), concerning the conditions 32
under which textbooks and other instructional materials are exempt from the 33
gross receipts tax, is amended to read as follows: 34
(b) Textbooks, library books, and other instructional materials shall 35
be exempt from the gross receipts tax levied by this chapter if purchased or 36 SB200
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leased by: 1
(1) An Arkansas public school district or Arkansas public school 2
that receives state funding; or 3
(2) The State of Arkansas for free distribution to Arkansas 4
public school districts or Arkansas public schools. 5
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APPROVED: 3/18/25 8
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