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Business Taxes Law Guide—Revision 2024

Sales and Use Tax Annotations


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435.0000 Producing, Fabricating and Processing Property Furnished by Consumers—General Rules—Regulation 1526

Annotation 435.0143

(a) Assembly, Disassembly and Reassembly


435.0143 Reassembly. If property had been fully assembled prior to its disassembly and is not substantially different in its reassembled form from its original form, the labor to reassemble the property is a nontaxable service if: (1) The charges for reassembly are separately stated, (2) title to the property passed to buyer prior to the reassembly, and (3) the buyer was not required to hire the seller to do the reassembly. 12/29/86.