All contracts with non-Missouri performers must include specific clauses.
Whether or not withholding is required, all contracts by University venues with performers must include a clause that appears below acknowledging the Missouri 2% entertainment tax. If a contract submitted by nonresident performers is silent on this issue, the clause below must be included, through contract modification and/or an addendum, before it is signed. Any and all language in a contract submitted by a nonresident performer to the effect that no taxes will be withheld, howsoever worded, will need to be stricken before it can be signed. Penalties incurred for failure to withhold will be passed through to the venue. Each university venue should refer prospective nonresident performers to this website for further information.
Non-Missouri Entertainer Contract Clause
Section 143.183.1 of the Revised Statutes of Missouri provides for a 2% withholding of tax from compensation in excess of $300 if such amount is paid by a venue in Missouri to a nonresident entertainer as defined in the statute. The statute requires the venue to withhold 2% of the compensation as a prepayment of tax unless (a) the venue is exempt from taxation under Internal Revenue Code Section 501(c)(3) and the venue receives no benefit from the entertainer’s appearance other than the entertainer’s performance, or (b) the presentation is for professional or technical education purposes or made as part of a seminar, conference, convention, school or similar program format designed to provide professional or technical education. Accordingly, unless one of the exceptions noted above applies, and any other provisions in this contract to the contrary notwithstanding, if compensation is payable under this contract to a non-Missouri resident entertainer in excess of $300, the University will withhold 2% and remit the same to the Department of Revenue.