N.M. Admin. Code § 3.2.205.9

Current through Register Vol. 35, No. 23, December 10, 2024

Section 3.2.205.9 - SALE ON INSTALLED BASIS

A. Receipts from selling tangible personal property to a person who resells that property on an installed basis are receipts derived from the sale of tangible personal property for resale even though material and services are not separately stated when the property is resold on an installed basis.

B. Example: C is in the carpeting and drapery business. When M came to see C about carpeting a bedroom, C quoted a price of $9.95 per square yard installed. The sale was completed and the carpet installed. Even though C did not separately state materials and services in the billing to M, C was correct in delivering a nontaxable transaction certificate to C's supplier because the sale from the supplier to C was in fact a sale of tangible personal property for resale.

3/9/72, 11/20/72, 3/20/74, 7/26/76, 6/18/79, 4/7/82, 5/4/84, 4/2/86, 11/26/90, 11/15/96; 3.2.205.9 NMAC - Rn, 3 NMAC 2.47.9, 5/31/01