[StBernard] sales tax

Westley Annis westley at da-parish.com
Sat Feb 24 13:13:47 EST 2007


Deb,

The simple fact is, as you said, anything movable should be charged sales
tax, which is basically any materials used.

What you are seeing is how your individual contractors are handling sales
tax, which may or may not be legal.

If they are buying the materials retail, say from Home Depot, they are
paying sales tax on it. As long as they don't mark up the price (with the
tax included) it is a simple reimbursement and no need to charge you sales
tax and they probably don't have to bother with filing any sales tax
reports.

If they mark up the price, they need to calculate tax on the new price and
collect it from you. They can deduct the sales tax that has already been
paid.

Westley

-----Original Message-----

As I finalize my itemized lists of what I bought in repairing the house and
contents, it seems that there are quirks in being charged sales tax. Why do
some companies who are furnishing labor and material in your home show no
sales tax and other do, while some charge tax on just the labor or just the
material? Obviously, anything moveable is charged sales tax such as
furniture, appliances, and such. Can someone who knows the law advise what
is the governing rule for materials and labor for such things as insulation,
flooring, roofing, etc. when one company does both labor and material on a
fixed item. Some put only one price on the invoice and then write "includes
tax" and others write nothing but a single price leaving me guessing if
sales tax was paid at all. ddk





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