Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2013
Sales and Use Tax Annotations
435.0000 PRODUCING, FABRICATING AND PROCESSING PROPERTY FURNISHED BY CONSUMERS—GENERAL RULES—Regulation 1526
(c) MISCELLANEOUS OPERATIONS
435.1760 Fabric Purchased to Make a Suit. Where fabric is purchased from an importer and subsequently taken to a tailor to be made into a suit, the entire amount charged by the tailor to create the suit is taxable fabrication labor. Thus, tax applies to both the purchase of the fabric and the charge made by the tailor for labor.
If the tailor purchases fabric and makes a complete suit, the total sales price of the suit is taxable without any deduction for materials, labor or other expenses. 8/25/53. (Am. 2004–2).