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
190.0162 Contractor as Seller of Materials. In order for a contractor to be considered the seller of materials he/she furnishes and installs, both requirements of Regulation 1521 (b)(2)(A)(2) must be met. It is not sufficient that the contract only contains a clause passing title to the materials prior to installation. The contract must also separately state the sales price of the materials, exclusive of the charge for installation. Furthermore, it is not sufficient that the contract require the contractor to show the material costs separately on invoices for partial payment as the work progresses or on final billings. What is in fact a lump-sum contract cannot be changed to a time and materials contract by such actions. 1/7/85.