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How do I know what is taxable? - Nearly all tangible personal property transferred for value is taxable. This includes property purchased for lease or rent. Most goods, wares, and merchandise are taxable in united state.



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How do I know what is taxable?


By Nashib Umer
Mar 11, 2010 - 12:45:11 PM

Nearly all tangible personal property transferred for value is taxable. This includes property purchased for lease or rent. Most goods, wares, and merchandise are taxable in united state. Services associated with the sale of tangible personal property may also be taxable. Only installation and repair/reconditioning service is not taxable if it is separately stated on the invoice. Most food purchases of unprepared or uncooked food is not taxable. You may write to the InfoTaxSquare.com about the taxability of a specific item.

Retail sales of tangible personal property includes, but not limited to:

  • furniture, appliances, and lighting fixtures;
  • machinery and equipment, parts, tools, and supplies;
  • computers and prewritten (canned/off-the-shelf/standard)
  • computer software;
  • motor vehicles;
  • boats and yachts;
  • fuels (e.g., motor fuel, diesel motor fuel, and kero-jet fuel);
  • candy and confections;
  • bottled water, soda, and beer;
  • cigarettes and tobacco products;
  • cosmetics and toiletries;
  • jewelry;
  • artistic items such as sketches, paintings, and photographs;
  • animals, trees, shrubs, plants, and seeds;
  • coins and other monetary items, when purchased for purposes
  • other than for use as a medium of exchange;
  • building materials; and
  • prepaid telephone calling cards.

Sales of specifically enumerated services include, but not limited to:

  • providing certain information services;
  • processing, assembling, fabricating, printing or imprinting tangible;
  • personal property furnished by a customer who did not purchase the tangible personal property for resale;
  • installing, maintaining, servicing, or repairing tangible personal property that is not held for sale by the purchaser of the service in the regular course of business;
  • storing tangible personal property that is not being held for sale;
  • renting safe deposit boxes, vaults, and similar storage facilities;
  • maintaining, servicing, or repairing real property both inside and outside buildings;
  • providing parking, garaging, or storing services for motor vehicles;
  • interior decorating and designing;
  • protective or detective services; and
  • entertainment or information services provided by means of telephone or telegraph.

Other Taxable Items include, but not limited to:

  • Sales of gas, electricity, refrigeration and steam;
  • Sales of gas, electric, refrigeration and steam service;
  • Sales of telephony and telegraphy;
  • Sales of telephone and telegraph service (including telephone answering services, facsimile transmission services, and cellular telephone services);
  • Sales of food and drink for on premises consumption, for example, when sold by restaurants and taverns;
  • Sales of food and drink when sold by caterers;
  • Sales of heated food and sandwiches;
  • Rent for occupancy of hotel or motel rooms (including bed and breakfasts, boarding houses, guest houses, etc);
  • Admission charges to places of amusement, other than live dramatic or musical arts performances, motion picture theaters, participatory sporting events, or live circus performances;
  • Dues, including initiation fees, paid to social or athletic clubs when the dues are more than $10 per year; and
  • Charges of a roof garden, cabaret or other similar place.
  • furniture, appliances, and lighting fixtures;
  • machinery and equipment, parts, tools, and supplies;
  • computers and prewritten (canned/off-the-shelf/standard)
  • computer software;
  • motor vehicles;
  • boats and yachts;
  • fuels
  • candy and confections;
  • bottled water, soda, and beer;
  • cigarettes and tobacco products;
  • cosmetics and toiletries;
  • jewelry;
  • artistic items such as sketches, paintings, and photographs;

Source http://www.infotaxsquare.com

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