Sales Tax Articles
Sales Tax State Activity Update - December 2006
Signs, Signs, Everywhere There's Signs! How Does Kansas Tax Them?
In a recent private letter ruling, the Kansas Office of Policy and Research provides guidance related to the taxability of sign sales and subcontracted services delivered and performed in Kansas by an out-of-state fabricator of electric signs.
The guidance relates to several scenarios for sales of the signs, shipping charges, installation (set-up) charges, permits, repair and replacement services, removal services and whether the use tax is owed on the removal of materials from untaxed inventory.
The Office of Policy and Research states that generally sales and use tax applies to the sale, delivery and set-up of signs and the fabricator does not accrue use tax on the withdrawal of materials from untaxed inventories. EDU-27 Sales Tax Guidelines for Fabricators is referenced as basis for the conclusions.
The full text may be accessed on the Kansas Department of Revenue's Policy Information Library
( Kansas Office of Policy and Research, Private Letter Ruling P-2006-014, 11/13/2006 )
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