No tax when they bought them or no tax when they gave them away?
None in either case. a charitable gift is not a sale to be taxed whether from a non-profit or an individual.
None in either case. a charitable gift is not a sale to be taxed whether from a non-profit or an individual.Hmm. The NIPA PCE table for 2004, Line 108, has $219 billion dollars listed for "Religious and welfare activities." The footnote states
"For nonprofit institutions, equals current expenditures (including consumption of fixed capital) of religious organizations, child day care services (excluding educational programs), social advocacy organizations, human rights organizations, civic and social organizations, residential mental health and substance abuse facilities, homes for the elderly, other residential care facilities, social assistance services, political organizations, museums, libraries, and grantmaking and giving services. The expenditures are net of receipts--such as those from meals, rooms, and entertainments--accounted for separately in consumer expenditures, and exclude relief payments within the United States and expenditures by grantmaking foundations for education and research. For proprietary and government institutions, equals receipts from users."