Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2013
Sales and Use Tax Annotations
190.0000 CONSTRUCTION CONTRACTORS—Regulation 1521
(b) SPECIFIC PROPERTY AS "MATERIALS" OR "FIXTURES"
190.1318 Carpet Strips. Carpet is cut into strips and bound on one side for permanent installation in a manner similar to wall to wall carpeting base boards. The contract to install is a construction contract under Regulation 1521 (a)(2). If the cutting and binding is done by the installer, tax is due on the material cost. If the cutting and binding is done by someone other than the installer, the charge to the installer is for fabrication labor, which is subject to tax, in addition to the tax due on the cost of the carpeting itself. 12/21/92.