BATTERIESRIT
Active Member
- First Name
- Joe
- Joined
- Feb 25, 2021
- Threads
- 13
- Messages
- 37
- Reaction score
- 20
- Location
- Iowa
- Vehicles
- Camry
- Thread starter
- #1
I recently called an auto body wrap service about a price for this service.
They indicated the entire service is treated as sales taxable by them as it too much trouble to separate
the cost of film wrap from labor. I would venture that labor and overhead on such a project
is perhaps 40-50% of the job. So sales tax is collected on perhaps $600-700 of the cost of
a full front clip (say $1,500 to 2,000) that could be exempt if broken out as labor.
This is serious money.
Again, please note that some states with sales tax do not tax services. If parts provided in
a automobile service or repair are broken out separately from the labor, then only the
parts that were placed on the vehicle are sales taxable.
They indicated the entire service is treated as sales taxable by them as it too much trouble to separate
the cost of film wrap from labor. I would venture that labor and overhead on such a project
is perhaps 40-50% of the job. So sales tax is collected on perhaps $600-700 of the cost of
a full front clip (say $1,500 to 2,000) that could be exempt if broken out as labor.
This is serious money.
Again, please note that some states with sales tax do not tax services. If parts provided in
a automobile service or repair are broken out separately from the labor, then only the
parts that were placed on the vehicle are sales taxable.
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