Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2013
Sales and Use Tax Annotations
190.0000 CONSTRUCTION CONTRACTORS—Regulation 1521
(a) IN GENERAL—ACTIVITIES CONSTITUTING CONTRACTING OR MAKING OF IMPROVEMENTS
190.0025 Aircraft Hangars. Aircraft hangars which are prefabricated modular buildings movable on the highway as a unit from the point of sale to the point of installation constitute improvements to real property for sales tax purposes when installed. Upon installation, the hangars are attached to the asphalt on which they rest by lag screws, sealed to the ground by tar, and wired to a metered electrical hookup.
Where a unit is sold for installation by the purchaser or by a contractor hired by the purchaser, the contract is not a construction contract but a contract for the sale of tangible personal property. The contract is taxable in its entirety, notwithstanding the fact that the hangar may then be installed as an improvement to realty. 11/28/88.