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"
190.1494 Electrical Transmission and Distribution Control Systems. These systems electronically control the transmission of oil, water, or steam. They are constructed from raw materials, i.e., sheet metal, wire, wire gutters, control system controllers, motor starters, solenoid valves, pneumatic controllers, level switches, push buttons and temperature pressure, flow and level transmitters. They are constructed at the plant and then transported to the jobsite for installation.
These systems are not lines, poles, towers, or conduit and, therefore, do not come within section 6016.5. The systems will not lose their identity to become an integral and inseparable part of real property and, thus, are not "materials." Rather, the control systems will be accessory to the buildings and will not lose their identity when installed. Therefore, they should be regarded as fixtures. 7/14/93.