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
190.0675 Refurbish Hydroelectric Turbine. A taxpayer contracts to repair or recondition a hydroelectric turbine in place or if necessary to remove it for repairs, the contract requires the taxpayer to reaffix the turbine to the realty. Such contracts are construction contracts to improve realty. Since a hydroelectric turbine is a fixture, the contractor is the retailer of the parts furnished to repair the turbine when the sales price of the parts is billed separately from the repair labor. On the other hand, the contractor is the consumer of the parts furnished if the repair contract is a lump-sum construction contract to repair a fixture. 9/27/95.