DRS: Ruling 89-127, Maintenance

 

STATE OF CONNECTICUT
DEPARTMENT OF REVENUE SERVICES

450 Columbus Blvd
Hartford CT 06103
 
 
 
 
 
 

 
 

This Ruling has been superseded by PS 94(2)

Ruling 89-127

Maintenance


Labor charges for services performed to the equipment after the ninety-day free service period has lapsed are taxable pursuant to section 12-407(2)(i)(DD) of the Connecticut General Statutes, as amended by Public Act No. 89-251.

The gross receipts for preventive maintenance contracts that commence on January 1, 1989 are not taxable. However, preventive maintenance contracts to service equipment that are entered into on or after July 1, 1989 are subject to sales and use tax pursuant to section 12-407(2)(i)(DD) of the Connecticut General Statutes, as amended by Public Act No. 89-251.

TIMOTHY F. BANNON
COMMISSIONER

September 28, 1989