Frequently Asked Questions
I am in the air conditioning and heating business. We sell, service and install heating and cooling systems. We pay the sales tax on our purchases of these systems. We have a contract to install a cooling system to a state agency. Do we owe the use tax on the purchases that go into this job?
Yes, the fact that these purchases are for a state agency does not exempt you, as a contractor, from the use tax due on these purchases.