Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2017
Sales and Use Tax Annotations
295.0000 GROSS RECEIPTS
(f) COSTS AND EXPENSES
295.1319 Energy Surcharge Fees. A company sells industrial gases and supplies for use in welding operations. The company recently included an "energy surcharge fee" on their sales to non-tax exempt customers. This fee is a cost of doing business that the company passes on to its customers and is therefore part of the cost of materials sold to the company's retail customers. The "energy surcharge fee" must be included in the taxable gross receipts whether or not they are separately stated in a sales invoice provided to the company's customers. 08/17/01.