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Business Taxes Law Guide—Revision 2024

Sales and Use Tax Annotations


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S


515.0000 Service Enterprises Generally—Regulation 1501

Annotation 515.1000

(e) Miscellaneous Activities


515.1000 Floats. A decorating company contracts to build a float and enter, display, and operate that float in a parade. The contract does not pass title to the float to the customer, nor does the company transfer possession of the float to the customer. The company is the consumer of the material which becomes part of the float. If the company thereafter contracts to sell the float (whether to its original customer or to another person), tax applies to the gross receipts from that sale. 10/21/54.