Laws, Regulations & Annotations

Business Taxes Law Guide – Revision 2018

Sales and Use Tax Annotations

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557.0000 TRANSPORTATION CHARGES—Regulation 1628

Annotation 557.0226

557.0226 Forklift Charges. A taxpayer often delivers supplies to its customers. On occasion, it may unload the merchandise for the customer. In those cases in which it unloads the merchandise, it bills the customer a "forklift charge."

A charge for unloading property is part of the delivery charge. Under Regulation 1628, such charges are nontaxable only if title passes prior to that unloading. Unless there is an explicit agreement to pass title at an earlier time, a sale occurs at the time and place at which the retailer completes its performance with respect to physical delivery of the property. Since the retailer here did not complete its duties with respect to physical delivery until after the unloading was complete, the forklift charges for unloading the merchandise are taxable. 12/5/90.