Trade Show Event Marketing | Exhibit Happy

What Counts as a Reportable HCP Interaction Under the Sunshine Act at a Trade Show Booth?

Written by Steelhead Productions | Sep 9, 2026, 8:59:55 PM

It's opening day and a physician scans into your booth, watches a demo, grabs a coffee, and leaves with a branded jacket. Four moments in about ninety seconds. So, which ones end up in an Open Payments report?

The badge scan is not the reportable event, and neither is the conversation or a demo where the device stays on the counter. The interaction is not what gets reported, but the items you handed over might be.

Speak with our healthcare team if your team is mapping booth logistics for an upcoming show and wants a booth designed around your compliance team’s requirements before the floor opens.

The Quick Answer

A payment or other transfer of value provided in connection with a healthcare professional’s (HCP’s) booth visit may be reportable when all five of these conditions apply:

  1. The exhibiting company qualifies as an applicable manufacturer
  2. The person receiving the benefit is a covered recipient
  3. The company provides a payment or other transfer of value directly or indirectly to the covered recipient, or to another party on their behalf
  4. The individual transfer or applicable annual aggregate triggers reporting
  5. No reporting exclusion applies

For program year 2026, a transfer of value of $13.82 or more is potentially reportable, and smaller transfers generally become reportable when the annual total for one covered recipient exceeds $138.13, per Centers for Medicare & Medicaid Services' (CMS) Open Payments thresholds.

One rule sits on top of those numbers and works in exhibitors’ favor: transfers below $13.82 provided at large-scale conferences, similar large-scale events, and events open to the public do not have to be reported or counted toward the annual aggregate, under 42 CFR 403.904(h)(2)(iii).

How common booth activities are treated under Open Payments in program year 2026
Booth activity Open Payments treatment for program year 2026
Badge scan or booth conversation Not a transfer of value on its own
Demo where the device stays at the booth Not a loan, and not reportable on its own
Buffet food, coffee, or snacks open to all attendees Not reported or tracked, per 403.904(g)(2)
Any item under $13.82 at a qualifying large-scale event Excluded from reporting and from the annual aggregate, per 403.904(h)(2)(iii)
Giveaway at $13.82 or more in delivered cost Potentially reportable
Meal above the threshold for selected or identifiable attendees Potentially reportable
Raffle or contest prize to an identified covered recipient Potentially reportable
Patient-facing educational materials Excluded, per 403.904(h)(4)
Medical textbooks or journal reprints Not excluded; categorize under education or gift
Device loan up to 90 cumulative days per covered recipient per year Excluded, per 403.904(h)(5)
Device loan of 91 days or longer Reportable as a long-term loan, per 42 CFR 403.902
Consulting fees, speaker compensation, travel, or lodging Reportable payment categories

Quick Note: Whether something must be reported is separate from whether your company may provide it. Have compliance approve meals, giveaways, and prizes before planning the activation.

This article provides general information, not legal or compliance advice. CMS adjusts thresholds and penalties annually, and many Open Payments decisions depend on the specific circumstances. Confirm your company’s obligations with its legal and compliance teams before setting booth policy.

On this page

Does the Sunshine Act apply to Your Company?

An applicable manufacturer must meet the requirements in 42 CFR 403.902.

These include operating in the United States and producing, preparing, propagating, compounding, or converting a covered drug, device, biological, or medical supply. The definition also reaches qualifying entities under common ownership that provide assistance or support.

Not every healthcare or pharma exhibitor is automatically an applicable manufacturer.

Which Booth Visitors Are Covered Recipients?

“Covered recipient” is more specific than “healthcare provider.” The regulatory definition includes:

  • Physicians
  • Teaching hospitals
  • Physician assistants
  • Nurse practitioners
  • Clinical nurse specialists
  • Certified registered nurse anesthetists, including anesthesiologist assistants as prescribed by the Secretary
  • Certified nurse-midwives

Bona fide employees of the reporting manufacturer are excluded from the individual covered-recipient definition.

The five non-physician practitioner categories first appeared in program year 2021 data following the SUPPORT Act expansion, as explained in CMS’s expansion FAQs.

If your booth staff still thinks “Sunshine Act” means “physicians only,” that assumption needs updating.

What Counts as a Transfer of Value?

Open Payments defines a payment or other transfer of value, broadly as a transfer of 'anything of value'. Relevant reporting categories include:

  • Food and beverages
  • Gifts
  • Entertainment
  • Education
  • Travel and lodging
  • Consulting fees, honoraria, and speaking compensation
  • Long-term medical supply or device loans

Whether a particular transfer must be reported depends on the applicable thresholds and exclusions.

What to Evaluate, Activity by Activity

Meals and Hospitality at a Large-Scale Conference

Two rules shelter food at a major trade show, and they work independently.

Generally available buffet meals, snacks, soft drinks, and coffee at a large-scale conference are not reported or tracked at all under 42 CFR 403.904(g)(2).

Separately, sub-threshold transfers at a qualifying large-scale event fall under the (h)(2)(iii) exception above, whoever took them. CMS never defines “large-scale,” so your compliance team owns that call.

Meals provided to selected, identifiable attendees require a separate review.

CMS explains that these meals do not qualify for the generally available conference-food exception in Open Payments FAQs (FAQ #8390). A private dinner does not qualify for large-scale-event treatment simply because it happens during conference week. Outside the event exceptions, smaller meals may also count toward the annual aggregate.

Branded Giveaways Are Valued at Delivered Cost

An item valued at $13.82 or more cannot rely on the large-scale-event exception. The full delivered value is what counts, and CMS confirms that tax and payments for shipping and handling are included in the total value of a transfer (FAQ #8964). A $12 unit price can cross the 2026 threshold once tax and freight land on it. Set your giveaway limit on delivered cost, not the advertised unit price.

Raffles, Contests, and Prizes

A prize given to an identified covered recipient is a potential gift or transfer of value, with prizes valued at $13.82 or more meeting the 2026 individual reporting threshold. The badge scan helps identify the recipient. It is not what makes the prize reportable. Run any contest or “spin to win” past compliance before the show, not after.

Device Demos Vs Short-Term Loans

A demo is not automatically a loan. A short-term medical supply or device loan may qualify for the exclusion at 42 CFR 403.904(h)(5) when provided for evaluation. The definition at 42 CFR 403.902 caps that at a loan period of 90 cumulative days per calendar year, or a quantity equal to 90 cumulative days of average daily use, and it also covers a device under development

CMS adds that the period begins when the manufacturer provides the device, and that it applies per covered recipient (FAQ #8956 and #8958). Cumulative is the word that catches people: three separate 40-day loans to the same provider blow through the limit. Loans of 91 days or longer fall into the long-term loan category at 42 CFR 403.902, which is a reporting category rather than an exclusion.

The Educational Materials Exclusion is Patient-Facing

Under 42 CFR 403.904(h)(4), the educational materials exclusion applies to materials that directly benefit patients or are intended to be used by or with patients. It is patient-facing, not a general exclusion for anything educational, which is where some teams get this one wrong. CMS states that medical textbooks and journal reprints, which educate covered recipients but are not intended for patient use or direct patient benefit, are not included, and directs manufacturers to categorize them under education or gift (FAQ #8171 and #8254). Other exclusions, including the small-transfer exception at qualifying large-scale events, may still apply.

Speaker and Consultant Conversations

Discussing a possible speaker or advisory relationship in your booth is not itself a transfer of value. The compensation attached to it may be. Where the conversation happened does not change the rules.

A Practical Pre-Show Checklist

Before the exhibit hall opens, your team should be able to answer these 7-questions:

  1. Are we an applicable manufacturer, and do we know which attendees are covered recipients?
  2. Is our giveaway limit set on delivered cost, with tax and freight included?
  3. Has compliance confirmed this show counts as a large-scale event, since our sub-threshold giveaways ride on it?
  4. Who writes down which named providers received items over the threshold?
  5. Are we tracking cumulative loan days per provider per year, not just one start date?
  6. Is each handout written for the provider or for the patient?
  7. Who approves raffles and contests before they go live?

Your compliance team makes the final policy calls. The booth should make those calls easy to follow, especially at 10 a.m. on day two, when you are three attendees deep and nobody has time to look anything up.

Talk to Us before your next show if you want these answers and more settled while there is still time to build the process instead of patching it.

Where Exhibit Happy by Steelhead Comes In

Healthcare and Pharma exhibiting operates under a different level of scrutiny than most industries.

The audiences are specialized. The reporting requirements are specific. The interactions move quickly. Every meal, giveaway, prize, or device loan may introduce another detail for your compliance team to evaluate.

Exhibit Happy by Steelhead works with life sciences marketing teams to design exhibit environments around established compliance requirements from the very beginning, supporting agency collaboration and making approved processes easier to follow on the show floor.

Because in healthcare, a successful exhibit experience isn’t just visually impressive.

It gives your team the clarity and structure to engage healthcare professionals confidently, with your compliance team’s requirements considered from the first design conversation.

Book a Consultation to explore how your next exhibit can be designed around your program requirements from the beginning.

Frequently Asked Questions

Does a badge scan count as a transfer of value?

No. A badge scan has no monetary value. It may help connect an identified covered recipient with a separate item or benefit that person received, which is a documentation question rather than a reportable payment.

Are meals at medical trade shows exempt?

Not automatically, and two separate rules matter. Manufacturers are not required to report or track qualifying buffet meals, snacks, soft drinks, or coffee made generally available to all participants at a large-scale event. Sub-threshold items at a qualifying large-scale event are also excluded. Meals for selected, identifiable attendees must be evaluated against the individual threshold, applicable annual aggregate, and any exclusions.

Does a booth giveaway below $13.82 count toward the 2026 annual aggregate?

If it is provided at a qualifying large-scale conference or similar event, the exception in 42 CFR 403.904(h)(2)(iii) generally excludes it from both reporting and the annual aggregate. Outside that setting, smaller payments may count toward the annual aggregate.

Do tax and shipping count toward the value of a booth giveaway?

Yes. CMS states that tax and payments for shipping and handling are included in the total value of a payment or other transfer of value. An item priced under the threshold can land above it once freight and tax are added, so set internal limits on delivered cost.

Are medical textbooks and clinical reprints excluded?

No, simply because they are educational. The exclusion applies to qualifying materials that directly benefit patients or are intended for use by or with patients. CMS explains that textbooks and journal reprints intended for professional education, without patient use or direct patient benefit, do not qualify for this exclusion. Other exclusions may still apply.

Are short-term device loans reportable?

Qualifying device or medical-supply loans for evaluation are excluded for up to 90 cumulative days per covered recipient per calendar year. Longer or repeated loans that exceed the cumulative limit have to be evaluated, and loans of 91 days or longer fall into the long-term loan category.

What are the penalties for failing to report?

CMS may impose civil monetary penalties when a reporting entity fails to report information in a timely, accurate, or complete manner, with higher penalties for knowing failures. The applicable amounts are tiered and are adjusted annually under the rules referenced in 42 CFR 403.912.

Sources:

  1. CMS, Open Payments Data Collection guidance: program year 2026 thresholds of $13.82 and $138.13
  2. 42 CFR 403.902, eCFR: definitions of applicable manufacturer, covered recipient (including the bona fide employee exclusion), payment or other transfer of value, short term medical supply or device loan (90 cumulative days per calendar year), and long term medical supply or device loan (91 days or longer)
  3. 42 CFR 403.904, eCFR: nature-of-payment categories at (e)(2); the large-scale-event buffet rule at (g)(2); the small-payment threshold at (h)(2), the large-scale-event carve-out at (h)(2)(iii), the patient-facing educational materials exclusion at (h)(4), and the short term medical supply or device loan exclusion at (h)(5)
  4. 42 CFR 403.912, eCFR: tiered civil monetary penalties and the combined annual maximum, adjusted annually under 45 CFR part 102; CMS, Audits and Penalties: for reporting that is not timely, accurate, or complete
  5. CMS, Open Payments Frequently Asked Questions (PDF): fact-specific inquiry and identified-attendee limit for conference food and beverage (FAQ #8390); tax, shipping, and handling included in value (FAQ #8964); device loan clock start and per-covered-recipient measurement (FAQ #8956, #8958); textbooks and journal reprints not included in the educational materials exclusion (FAQ #8171, #8254)
  6. CMS, Open Payments FAQs: Covered Recipient Definition Expansion (PDF): the five non-physician practitioner categories, first applicable to program year 2021
  7. CMS, “CMS Publishes Program Year 2021 Open Payments Data on Health Care Providers,” June 30, 2022: SUPPORT Act expansion of covered recipients