California Sales Tax for Interior Designers - Labor Charges – Construction Contracts

Generally, sales tax does not apply to the labor portion of charges for work performed on real property.

This is true when you perform work on items that are attached to the building or which are part of it, such as carpets, built-in appliances, or indoor swimming pools.

However, if you fabricate separate items of personal property or fixtures as a part of the job, such as shutters or throw rugs made from carpet scraps, your charge for that work is taxable fabrication.

You should itemize the charge on your invoice.


Source: California Department of Tax & Fee Administration (CDTFA)

Course: https://salestaxsolutions2000.com/california-sales-tax... 

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