Does certificate of capital improvement st-124 cover materials or just labor?

I read a previous thread about kitchen countertops qualifying as capital improvements and thus exempt from sales tax. I downloaded form st-124, but I’m not totally sure whether the tax exemption applies only to labor or to materials as well. Does anyone here know? Thanks!

Kate

in Taxes 12 years and 3 months ago

2

82

Please log in, in order to post replies!

2 replies

Newest Oldest

stevecym | 12 years and 3 months ago

string(1) "1"
object(WP_User)#5014 (8) {
  ["data"]=>
  object(stdClass)#4822 (12) {
    ["ID"]=>
    string(5) "21525"
    ["user_login"]=>
    string(8) "stevecym"
    ["user_pass"]=>
    string(0) ""
    ["user_nicename"]=>
    string(8) "stevecym"
    ["user_email"]=>
    string(24) "stevecymbalsky@yahoo.com"
    ["user_url"]=>
    string(30) "/forums/users/thetinkerswagon/"
    ["user_registered"]=>
    string(19) "2017-08-10 14:05:31"
    ["user_activation_key"]=>
    string(20) "xLyD4JX1CSeJzFu7zs4j"
    ["user_status"]=>
    string(1) "0"
    ["display_name"]=>
    string(8) "stevecym"
    ["spam"]=>
    string(1) "0"
    ["deleted"]=>
    string(1) "0"
  }
  ["ID"]=>
  int(21525)
  ["caps"]=>
  array(2) {
    ["subscriber"]=>
    bool(true)
    ["bbp_participant"]=>
    bool(true)
  }
  ["cap_key"]=>
  string(15) "wp_capabilities"
  ["roles"]=>
  array(2) {
    [0]=>
    string(10) "subscriber"
    [1]=>
    string(15) "bbp_participant"
  }
  ["allcaps"]=>
  array(4) {
    ["read"]=>
    bool(true)
    ["level_0"]=>
    bool(true)
    ["subscriber"]=>
    bool(true)
    ["bbp_participant"]=>
    bool(true)
  }
  ["filter"]=>
  NULL
  ["site_id":"WP_User":private]=>
  int(1)
}

materials are always taxed.   say a vendor has agreed to do a time and materials job for you where he is going to bill you for what he pays for materials.  when he gives you the reciept , it will have tax on there for the counter.  if he uses his tax number to avoid paying tax on the materials, he will have to bill you for the tax on them and submit the tax payment to the state.  there is no way around that on materials.  the st-124 is really for labor – it is just that the customer usually does not see the contractor’s reciepts for materials so they are not aware of this. steve http://brownstoner.staging.wpengine.com/tinkerswagon

cm | 12 years and 3 months ago

string(1) "1"
object(WP_User)#5013 (8) {
  ["data"]=>
  object(stdClass)#5011 (12) {
    ["ID"]=>
    string(3) "665"
    ["user_login"]=>
    string(2) "cm"
    ["user_pass"]=>
    string(34) "$P$BswWLA.pKLv0d5CgHKQvWAVovFV4kC/"
    ["user_nicename"]=>
    string(4) "cm-2"
    ["user_email"]=>
    string(22) "cmorisi@spitzereng.com"
    ["user_url"]=>
    string(17) "/forums/users/cm/"
    ["user_registered"]=>
    string(19) "2017-08-10 14:11:42"
    ["user_activation_key"]=>
    string(0) ""
    ["user_status"]=>
    string(1) "0"
    ["display_name"]=>
    string(2) "cm"
    ["spam"]=>
    string(1) "0"
    ["deleted"]=>
    string(1) "0"
  }
  ["ID"]=>
  int(665)
  ["caps"]=>
  array(2) {
    ["subscriber"]=>
    bool(true)
    ["bbp_participant"]=>
    bool(true)
  }
  ["cap_key"]=>
  string(15) "wp_capabilities"
  ["roles"]=>
  array(2) {
    [0]=>
    string(10) "subscriber"
    [1]=>
    string(15) "bbp_participant"
  }
  ["allcaps"]=>
  array(4) {
    ["read"]=>
    bool(true)
    ["level_0"]=>
    bool(true)
    ["subscriber"]=>
    bool(true)
    ["bbp_participant"]=>
    bool(true)
  }
  ["filter"]=>
  NULL
  ["site_id":"WP_User":private]=>
  int(1)
}

The capital improvement certificate applies if you buy labor AND materials from a vendor. For example if you go to a granite supplier and he furnishes AND installs the tops you pay no sales tax. If you just buy the granite top and install it yourself you pay the tax.