Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2017
Sales and Use Tax Annotations
315.0000 INSTALLING, REPAIRING, RECONDITIONING IN GENERAL—Regulation 1546
(a) IN GENERAL
315.0205 Mandatory Maintenance Contracts. When a lessor leases property in substantially the same form as acquired and makes a timely election to pay sales tax reimbursement or use tax measured by the purchase price then the lease including any mandatory maintenance contracts is not regarded as a sale under the Sales and Use Tax Law. If the lessor purchases parts to use in repairing the leased property, the lessor is also the consumer of those parts since they are being incorporated into property which the lessor is not reselling. 3/5/92.