Wisconsin gets a noticeable amount of snow each year. During the winter of 2007-08, for example, more than 100 inches of snow fell on the capital, Madison. That kind of snow calls for some serious snow removal services.
Fortunately, the “sale of snow removal services is not taxable” in Wisconsin.
As explained in a Wisconsin Department of Revenue sales and use tax report:
“A seller’s charge for snowplowing or sanding and salting roads, sidewalks, or parking lots is not subject to sales tax.”
The more essential a good or service, the less likely it is to be subject to high rates of sales tax. Take food in West Virginia. This past summer, the sales tax on food was eliminated in West Virginia. In announcing the news, Governor Earl Ray Tomblin (D) said that “West Virginians have been burdened by a regressive tax on one of life’s basic necessities [for too long].”
In other words, removing snow is an essential service in Wisconsin. A basic necessity.
How does your business handle the taxation of services? An automated sales tax solution makes it simple.
Get Free Tax Rate Tables
photo credit: Lost Albatross via photopin cc
