Questions and Answers
Kansas Retailers' Sales Tax
MATERIALS #70 (8/91)
imposes a sales tax: "upon the gross receipts received from the sales of tangible personal property to all contractors, subcontractors or repairmen of materials and supplies for use by them in erecting structures for others, or building on, or otherwise improving, altering, or repairing real or personal property of others."
Please be advised that sales of building material or other property to contractors, subcontractors or repairmen for use by them in building, constructing, erecting, equipping, furnishing, repairing, servicing, altering, maintaining, enlarging, reconstructing or remodeling shall be taxable.
Additionally, material used by a contractor, subcontractor or repairman for a project under original construction shall be subject to sales tax.
Each contractor, subcontractor or repairman is deemed to be the final user or consumer of material used by the contractor, subcontractor, and repairman in construction projects. Further, each contractor, subcontractor or repairman shall not give, and each retailer shall not accept, a resale exemption certificate to purchase building materials without sales tax.
Retailers' sales tax imposed; rate.
Information Guide 19-89-3. Sales Tax Procedures For Contractors, Subcontractors and Repairmen
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