Arkansas Code Title 26. Taxation § 26-52-430. Charitable organizations

(1) The sales transaction is conducted by a member of the charitable organization and not by a franchisee or licensee;

(2) All the proceeds derived from the sales transaction go to the charitable organization; and

(3) The sales transaction is not:

(c)(1) The provisions of this section shall not apply to a sale made by a nonprofit hospital, a cafeteria at a nonprofit hospital, or a gift shop at a nonprofit hospital, whether operated by the hospital, a hospital auxiliary, or other nonprofit organization.

(2) The provisions of this section shall also not apply to a gift shop operated by a charitable organization at a for-profit hospital.