Texas does indeed collect taxes on every ticket, trinket, photo, what have you. There used to be an exception that if you were legitimately tied in with a 501(c)3...they could fill out the forms to send to the Texas State Comptroller-which effectively made you a revenue stream for THEM. Sales tax was not sent to the Texas Comptroller...but to the non profit event that you had partnered up with (Hint here: Make SURE they file the form with the Comptroller's office!)
Pesonally, I'd always like to see the non-profit get it as opposed to the state. Never ceases to amaze me that people don't consider the taxes (or how they may legally minimize them) when they are crunching up their business numbers.
Lafitte's Landing, Dark Shadows Entertainment