Sales tax on CAD software
Sales tax on CAD software
(OP)
Does anyone know specifically in Virginia if I would need to pay sales tax on CAD software bought for my small engineering corporation? Is it considered a tool?
INTELLIGENT WORK FORUMS
FOR ENGINEERING PROFESSIONALS Come Join Us!Are you an
Engineering professional? Join Eng-Tips Forums!
*Eng-Tips's functionality depends on members receiving e-mail. By joining you are opting in to receive e-mail. Posting GuidelinesJobs |
Sales tax on CAD software
|
RE: Sales tax on CAD software
RE: Sales tax on CAD software
I don't know the way it works in Virginia, as I am in Washington, 2000 miles further, but we do pay sales tax on oall our job related equipment here such as computers and software.
I do believe that contractors pay sales tax on their supplies here, but pass that cost on to the clients. They do pay sales tax on their equipment though. Professional service fees are not taxable in Washington though.
Mike McCann
MMC Engineering
RE: Sales tax on CAD software
http
I'm curious if item 2 could include software as a tool used to produce a product?
I'm going to call the state to see what they say.
RE: Sales tax on CAD software
-b
RE: Sales tax on CAD software
Since I am only a day's drive from VA (and licensed there but not practicing), perhaps this is helpful.
Don Phillips
http://worthingtonengineering.com
RE: Sales tax on CAD software
Typically a Tax Exempt status is granted to manufacturers by their state tax authority.
TygerDawg
Blue Technik LLC
Virtuoso Robotics Engineering
www.bluetechnik.com
RE: Sales tax on CAD software
RE: Sales tax on CAD software
- MechEng2005
RE: Sales tax on CAD software
Dan - Owner

http://www.Hi-TecDesigns.com
RE: Sales tax on CAD software
A hot tub is not a necessary tool used to produce a product.
A piece of software is a tool that may be necessary to produce a product.
RE: Sales tax on CAD software
RE: Sales tax on CAD software
Dan - Owner

http://www.Hi-TecDesigns.com
RE: Sales tax on CAD software
The company assumed that since the software allowed for custom configurations, it was "custom" software. A high court ruled that "configurable" is not "custom".
RE: Sales tax on CAD software
RE: Sales tax on CAD software
Dan - Owner

http://www.Hi-TecDesigns.com
RE: Sales tax on CAD software
- MechEng2005
RE: Sales tax on CAD software
-b