Project Taxes

Question 1

Project tax status depends on _______.

Answer 1

the state and what exemptions are allowed

Question 2

From an operations standpoint, PM must have _________.

Answer 2

received an exemption document from the owner.

Question 3

The exemption document from the owner can be an ________.

Answer 3

exception certificate
a resale certificate
or a direct pay exemption certificate

Question 4

It is very important that tax team review potential exemption documents to _______.

Answer 4

check for their validity and if Tarsco can accept them.

Question 5

Many customers do have some sort of tax exemption, but _____.

Answer 5

a lot of states will not allow for the exemption to be passed down to a contractor or our company.

Question 6

Regarding new project in Baytown, sales forwarded customer tx direct pay exemption certificate. The certificate is valid and can be used in Tx. It is not a true exemption, but the direct pay permit allows the customer to be responsible for their own tax liability, therefore ______.

Answer 6

our company is not responsible for the sales tax on the purchase of materials or equipment for the stainless steel Baytown project contract.