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Ohio Sales tax on "Snow Removal"

Discussion in 'Business Fundamentals' started by Lawn Lad, Sep 22, 2003.

  1. Lawn Lad

    Lawn Lad Senior Member
    Messages: 407

    For those of you in Ohio that are now required to collect sales tax per HR 95 here is what I learned today after being on the phone with the tax folks for 70 minutes today.

    I learned...... 0

    Okay, actually, I learned they don't know what they're taxing. "Snow Removal" is the mechancial clearing/plowing/removing of snow.

    They are not requiring the collecting of sales tax on de-icing service since salting becomes incorporated into the real property. Although this is not in writing anywhere either written in law or an exemption, it simply does not exist in writing, it is assumed then that de-icing is not taxed.

    So... for all of you who were scratching your heads, you collect sales tax on anything from shoveling to plowing to hauling of snow. If you move snow, you collect tax. If you melt snow, you don't.

    None of it is very well defined, in fact, snow removal falls under "Landscaping" now. And there is no definition for snow removal specifically for snow removal in the Ohio Revised Code except for a mention of "...removing,..." in the middle of [pruning, mowing, watering],etc.

    OBRYANMAINT PlowSite.com Veteran
    from ohio
    Messages: 534

    I had this conversation today with another contractor ,we were unsure and came to the conclusion it will be easier to tax it all than to try and break some of it out....of course it depends on the computer system you use and how many more time we are willing to spend to track yet another figure
  3. cat320

    cat320 2000 Club Member
    Messages: 2,224

    So the state wants to bleed more money from hard working people but have no idea on what they want.:confused: Just do more cash deals .Or just write it up to what ever they say no tax on.This extra money will only go you some ones pockets and not back to the working people.