58.1-609.5 - Service exemptions. - Virginia Statutes

§ 58.1-609.5. Service exemptions.

The tax imposed by this chapter or pursuant to the authority granted in §58.1-605 or § 58.1-606 shall not apply to the following:

1. Professional, insurance, or personal service transactions which involvesales as inconsequential elements for which no separate charges are made;services rendered by repairmen for which a separate charge is made; andservices not involving an exchange of tangible personal property whichprovide access to or use of the Internet and any other related electroniccommunication service, including software, data, content and otherinformation services delivered electronically via the Internet.

2. An amount separately charged for labor or services rendered in installing,applying, remodeling or repairing property sold.

3. Transportation charges separately stated.

4. Separately stated charges for alterations to apparel, clothing andgarments.

5. Charges for gift wrapping services performed by a nonprofit organization.

6. An amount separately charged for labor or services rendered in connectionwith the modification of prewritten programs as defined in § 58.1-602.

7. Custom programs as defined in § 58.1-602.

8. The sale or charges for any room or rooms, lodgings, or accommodationsfurnished to transients for more than 90 continuous days by any hotel, motel,inn, tourist camp, tourist cabin, camping grounds, club, or any other placein which rooms, lodging, space or accommodations are regularly furnished totransients for a consideration.

9. Beginning January 1, 1996, maintenance contracts, the terms of whichprovide for both repair or replacement parts and repair labor, shall besubject to tax upon one-half of the total charge for such contracts only.Persons providing maintenance pursuant to such a contract may purchase repairor replacement parts under a resale certificate of exemption. Warranty plansissued by an insurance company, which constitute insurance transactions, aresubject to the provisions of subdivision 1 above.

(1993, c. 310; 1994, c. 595; 1998, c. 481; 2004, c. 607; 2006, c. 474.)