[ 2008; R-2013 | Keywords: Iowa Legislation, Sales Tax, Service] A question came up after the sales tax breakout session at the annual meeting regarding interstate commerce and sales tax on equipment serviced at an Iowa dealership. The particular question was, do we charge Iowa sales tax if an Iowa dealer picks up equipment from a Missouri farmer, services it at the dealership and delivers it back to Missouri? Answer: Since the customer takes possession of the serviced equipment in Missouri, Missouri sales tax rules apply. Streamlined Sales Tax Project Sourcing Issues Papers states… With services, receipt is defined as… Read More »
[2016 | Keywords: Business, Service] Equipment dealers continually strive to run an efficient and productive service department. From reducing redundancy to scheduling and communicating with road techs, innovative ideas and cutting edge technology are helping them reach this goal. Kunau Implement, a Case-IH dealership with locations in Preston and Dewitt, Iowa, tracks and communicates with its service techs on the road using a combination of Garmin GPS units and Fleetmatics software. The software allows a dispatcher to see which trucks are on the road and where they are located at any given time. “Basically, we’re keeping track of our assets… Read More »
[2016 | Keywords: Business, Operations, Service] Equipment dealers continually strive to run an efficient and productive service department. From reducing redundancy to scheduling and communicating with road techs, innovative ideas and cutting edge technology are helping them reach this goal. Kunau Implement, a Case-IH dealership with locations in Preston and Dewitt, Iowa, tracks and communicates with its service techs on the road using a combination of Garmin GPS units and Fleetmatics software. The software allows a dispatcher to see which trucks are on the road and where they are located at any given time. “Basically, we’re keeping track of our… Read More »
[2013 | Keywords: Sales Tax, Service] A local sales and service tax may be imposed by a jurisdiction on the gross receipts taxed by the state. A local sales and service tax shall be imposed on the same basis as the state sales and service tax and may not be imposed on the sale of any property or on any service not taxed by the state. Point of service and point of delivery constitute the point of sale. Therefore, the local option sales tax applies if service is performed or a taxable product is delivered within a local option jurisdiction…. Read More »
[2013 | Keywords: Iowa Legislation, Sales Tax, Service] Service Call Fees Service call fees: Flat fee is taxable (due to being based on labor charge), whereas a mileage charge ($.00/mile) or trip fee is not taxable. Trip fee must be based on distance. Handling Charge Now Exempt In Iowa, delivery charges are exempt from sales tax, as long as they are separately stated, reasonable in amount, and related to the cost of transportation. Delivery charges are currently defined as “…charges assessed by a seller of personal property for preparation and delivery to a location designated by the purchaser of personal… Read More »
