Kentucky – Taxability of Labor Charges for Fabrication

SALT Report 1729 – The latest issue of the Kentucky Sales Tax Facts newsletter discusses the taxability of labor charges for fabricating tangible personal property. Under 103 KAR 28:030, sales tax applies to the price of tangible personal property… Continue reading Kentucky – Taxability of Labor Charges for Fabrication

Michigan – Oil Well Contractor Not Liable for Use Tax

SALT Report 1728 – The Michigan Tax Tribunal ruled that a Taxpayer was not liable for use tax on cement and other raw materials that were used for oil well production. The Taxpayer is an oil well contractor who offers “turnkey” operations to its c… Continue reading Michigan – Oil Well Contractor Not Liable for Use Tax

Maine – Bad Debt Sales Tax Credit Rejected

SALT Report 1727 – The Maine Supreme Judicial Court upheld a lower court’s decision that a retailer could not claim a bad debt sales tax credit on accounts it sold to a third-party creditor that were later charged off as worthless. The facts of th… Continue reading Maine – Bad Debt Sales Tax Credit Rejected

California – Worthless Account Refund Provisions

SALT Report 1726 – The California General Assembly passed a bill that amends the process for claiming a refund or a deduction of sales and use tax for retail accounts that are held by lenders and found to be worthless. The purpose of the revision … Continue reading California – Worthless Account Refund Provisions