17 NCAC 07B .0802. MADE TO ORDER AND INSTALLATION SALES: GENERALLY

(a)  Sales of fabricated articles of tangible personal property to users or consumers are subject to the sales or use tax unless specifically exempt by statute.  Examples of such items are aluminum awnings, venetian blinds, draperies, seat covers, slip covers, storm doors, storm windows and any other fabricated articles.  When the sale is made by the person who fabricated the article from materials which he furnished, either directly or indirectly, the total sales price, including the charge for labor performed and services rendered in producing such article, is subject to the tax.  All persons making such sales must register with the Department and collect and remit all tax due.

(b)  Sales to users or consumers of tangible personal property, including articles fabricated by the vendor, which the vendor contracts to install are subject to the sales or use tax and persons making such sales must register with the Department and collect and remit all tax due.  If the vendor makes a charge for installing articles of tangible personal property which he sells, the charge for installation will not be subject to tax provided it is in addition to the sales price of the property and is stated separately on the customer's invoice and in the vendor's records.  If the installation charge is not separately stated, the entire amount will be taxable.

 

History Note:        Authority G.S. 105‑164.4; 105‑164.6; 105‑262;

Eff. February 1, 1976.