Tax Type
Retail Sales and Use Tax
Description
Painting and sandblasting
Topic
Exemptions
Date Issued
06-27-1989
June 27, 1989
Re: Request for Ruling: Sales and Use Tax
Dear***************
This will reply to your letter dated April 7, 1989, in which you requested a ruling on the application of the sales and use tax to your client ("The Taxpayer" ).
FACTS
The Taxpayer, a New York based contractor, is contemplating performing painting and sandblasting within the Commonwealth. The Taxpayer asks about the specific application of the tax to painting and sandblasting.
RULING
Virginia Regulation 630-10-77, states that "[t]he tax does not apply to the charges for services performed by painters.... They [the contractors] are consumers of all tangible personal property used by them and must pay the tax to their suppliers on purchases of paint...supplies, [and] equipment" used in performing such contracts within the Commonwealth. (Emphasis added).
The same general policy that applies to painting services also applies to sandblasting services, pursuant to Virginia Regulation 630-10-27, relating to real estate construction contractors, and Virginia Regulation 630-10-97.1, relating to nontaxable services. Copies of these regulations are enclosed.
Therefore, charges made to customers for painting and sandblasting services are not subject to Virginia sales tax. However, the Taxpayer will be liable for the Virginia sales or use tax on the cost price of all equipment, materials, paints, supplies, and other tangible personal property used in connection with sandblasting and painting contracts performed in the Commonwealth.
If we can be of further assistance, please contact us.
Sincerely,
W. H. Forst
Tax Commissioner
Rulings of the Tax Commissioner