tax laws in GA?

[2.0civic]

Anyone know any good sites or can answer this will get reps.

I just had a customer come in and say that in the state of GA, you arent supposed to be taxed for services. He wanted to get 6 phones for his company account and i forgot how it came up but he said that he shouldnt be taxed on his activations, etc.

My understanding is that you CAN get taxed on services and labor and things

I told him i was unsure of that and he said that he went and had some work done and got charged on labor at a shop on his car and said he showed them the code and they revoked it. im sure there may be something in certain instances but i really got tired of hearing him talk after i asked him where he got his info and he couldnt explain it. I tried to explain that i would like to know more about it but he just kept getting pissy essentially over taxes on $75 in activation fees so, $4?? lololol

prime examples i wanted to tell him were:

You pay taxes on your bill and thats a service
you pay taxes for schools and thats a service

Shit i dont know about yall but i pay a shitload in taxes outta my check and thats for services from the state

so what im asking is does anyone know if there is truth to this or not. If a shop is reading this, do you tax on labor?

[JennB]

Research it on the GA D.O.R. website.

This is what I found

Q. Is repair labor taxable?

A. When separately stated on a customer's invoice, repair labor is not taxable. If repair labor is combined on an invoice with the retail sale of tangible personal property, the entire transaction/sale is subject to sales tax.

So if someone comes to your house and fix your sink but do nothing else, no parts, it's not taxable but if they sell you a new drain and fix and install it, it is taxable.


I know sales tax and other tax law pretty well, but not as much in GA as other states. I'm an accountant but I haven't work public accounting here so I don't do tax advocacy work here like I used to in Indiana. Also, none of my current clients are in GA so I pay sales tax to other states like CA, TX, PA, etc. but not GA.


http://rules.sos.state.ga.us/docs/560/12/2/88.PDF

I would be interested in knowing what code he was talking about.

[2.0civic]

Research it on the GA D.O.R. website.

This is what I found

Q. Is repair labor taxable?

A. When separately stated on a customer's invoice, repair labor is not taxable. If repair labor is combined on an invoice with the retail sale of tangible personal property, the entire transaction/sale is subject to sales tax.

So if someone comes to your house and fix your sink but do nothing else, no parts, it's not taxable but if they sell you a new drain and fix and install it, it is taxable.


I know sales tax and other tax law pretty well, but not as much in GA as other states. I'm an accountant but I haven't work public accounting here so I don't do tax advocacy work here like I used to in Indiana. Also, none of my current clients are in GA so I pay sales tax to other states like CA, TX, PA, etc. but not GA.

thanks! that what i was thinking but i was wandering how he got around it on seperate invoices

[David88vert]

http://www.dor.ga.gov/salestax/st-faq.shtml

[aaronfelipe]

~waits for PM~