pa. 6% for all or what

Discussion in 'Lawn Mowing' started by SDF250, Feb 12, 2001.

  1. SDF250

    SDF250 LawnSite Member
    Posts: 88

    6% for lawn cutting ,not for trees. what else needs to be taxed fert.bushes trimmed,leaf clean ups ??????
     
  2. 1MajorTom

    1MajorTom Senior Moderator
    Posts: 6,073



    We are from PA, we charge sales tax which is 6% on all our SERVICES rendered.

    Then in Allegheny County and maybe other counties I'm not sure, there is an additonal 1% added to the 6% sales tax.

     
  3. TLS

    TLS LawnSite Fanatic
    Posts: 7,937

    I was told by my accountant that snowplowing is NOT a taxable service. Everything else is taxed. However, if you are seeding or sodding or installing landscaping materials of any kind on a NEW home for the FIRST time, that this is NON taxable. I hope he was correct, as that was over 10 yrs ago!



     
  4. Scraper

    Scraper LawnSite Bronze Member
    Posts: 1,656

    SDF250: It's a little complicated, but once you cut thru the crap it is clear. I have a copy of the "landscaping" sales tax code, but not with me now...I'll post a link to it if available later.

    It goes a little something like this:

    1) Lawn mowing, shrub pruning...taxable service. (i.e. $100 cut = $106 with sales tax)

    2) Fertilizing...you don't pay sales tax for the fertilizer, but you charge tax on the total cost of app. (i.e. buy 2-$20 bags of fertilizer ($40) and charge $100 to put it down including cost of fert, then you add sales tax...so the total would be $106. This way the State gets $6 as opposed to $2.40)

    3) Leaf cleanup is a non-taxable service if in landscaping beds, but once you start cleaning up the lawn areas it is a taxable service. (I just charge tax for the whole cleanup as ooposed to trying to figure out how much time I spent on the lawn and how much with the landscape beds.)

    Those are a few, but not all...like I said...I have the tax code, but not with me. If you haven't already...you'll need to get a PA Form 100 and file with the State. Here is a link to all information for that Form http://www.pa100.state.pa.us/ . It looks like a huge application, but once you start filling it out, you'll see that you'll skip many sections.

    Feel free to mail or IM me if you have any other questions.

    Glen
     
  5. SDF250

    SDF250 LawnSite Member
    Posts: 88

    thanks scraper
     
  6. Scraper

    Scraper LawnSite Bronze Member
    Posts: 1,656

    SDF: Sorry for taking so long to get back with the regulations.

    This link should take you to it http://search.pacode.com/cgi-bin/wg2?WAISdocID=3432023479+0+0+0&WAISaction=retrieve

    If not go to http://www.pacode.com and either do a search for "lawn" or it is Title 61 (Revenue) Section 55.6 (Lawn care Services).

    Hope this helps and remember to be legit you gotta collect taxes (among other things). A lot people scoff at me when I inform them that the price does not include sales tax. Usually get the response..."I never paid sales tax before". To which I respond then that means the other gu probably didn't have insurance either. No wonder he could cut for less." I usually end up with the job.

    It takes no time at all to get registered with the state and get your license. It also doesn't cost you anything...you are acting as the agent and collecting it.

    Glen

    P.S. Those rants above were not directed directly at you, but to anyone in PA who doesn't collect sales tax on taxable sales.


    Hey Dixie: Your accountant was right as section 9.3 of the code states this: "(3) Lawn care services. Charges for lawn upkeep. Examples include: fertilization, weed control, lawn mowing, shrubbery trimming, lawn thatching, leaf raking and other lawn treatment services. Charges for landscaping, sodding and grass seeding of new lawns is not subject to tax."

    You might want to just take a look at the section I posted above.


    Geesh...I started to have posts as long as Grassmaster. ;)




    [Edited by Scraper on 02-16-2001 at 09:55 AM]
     
  7. SDF250

    SDF250 LawnSite Member
    Posts: 88

    thank you very much scraper i've been killing my self trying to find that web site. ? if revamping a old lawn(seeding a new lawn )is that taxable or not? or is it only a "new" lawn if the house was just built, 55.6 like all laws is kinda a word game
     
  8. SDF250

    SDF250 LawnSite Member
    Posts: 88

    didn't find anything about plowing except removal of snow from forest ???????
    what about tax on building decks or garden sheds or for that matter any home inprovments. and fences bla bla bla
     
  9. RB

    RB LawnSite Senior Member
    Posts: 306

    Her in Pgh, Pa. we charge sales tax on all services. I had a sales tax audit once by some guy named Mr. Homoni. He is in Harrisburg (I think), and he could tell you everything you wanted to know.

    If anyone wants his number let me know, I'll try to find it.

    Ron
     
  10. mowerman90

    mowerman90 LawnSite Bronze Member
    Posts: 1,491

    Whooooa.......I almost forgot why I moved to Florida from the Pittsburgh area in 1987. Now it all comes back, I hope I don't wake up in the middle of the night screaming....ahhhhhhhgghhhgghggrrrrr
     

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