Poggenpohl/Bulthaup and Taxes
I am confused and hoping someone can help me here. As we try to figure out whether to go with a custom kitchen and/or using one of these kitchen design stores, we have noticed that with the custom nobody suggests charging us tax. On the other hand, when we went to Poggenpohl, Siematic, Bulthaup, they…
I am confused and hoping someone can help me here. As we try to figure out whether to go with a custom kitchen and/or using one of these kitchen design stores, we have noticed that with the custom nobody suggests charging us tax.
On the other hand, when we went to Poggenpohl, Siematic, Bulthaup, they all suggest in their initial estimates that there will be tax.
What gives here? Is there something different when a custom guy installs in that they don’t have to worry about charging taxes, while these design kitchen stores have no choice?
Obviously would like to avoid the tax payments if we were to try to go with a kitchen company.
Thanks for all the responses. Since if we go this route (as pricey as it is turning out to be), at least it looks like with their installation we save a helpful chunk in terms of avoiding taxes.
I did call several outfits and they confirmed your point – if they do the installation, no tax.
I also understood at least from one outfit that even if we just bought the cabinets and have our GC install, we can do it by having the GC essentially be the purchaser and installer and again we can avoid sales tax that way.
Thanks again.
if you buy cabinets from a store and they do the installation sales tax is exempt. The nationality of the store doesn’t matter. They are still conducting business in the u.s.
if you choose to use your gc or your own installer, sales tax s required for the cabinets.
Ask them for the form and sign it. just get a copy for your records. Allkitchen stores do this. Read the form.
You have nothing to do with customs regulations. The companies are operating in the u.s under u.s. laws. they have to obey it no matter what they tell you.
Ok, apologies but I may be confused, so just to clarify:
If I purchased from Bulthaup and/or Poggenpohl with installation included, I could fill out a form so that the full amount is sold w/ and exclusion from sales tax?
Or are you suggesting I would still pay tax on the cabinets and not on the installation?
When I talked to custom guys, I got the impression there would be no tax period, whether on the cabinets or on the installation… But maybe they took care of that in a way I didn’t see the break out.
So am I right to assume I should ask them (if we go with a design kitchen store) whether they can exclude sales tax?
You do not pay tax if you the kitchen store installer where you buy the cabinets. It does not matter the nationality of the store. (german, italian, etc.)
They are operating a business in the united states.
The high end shops like poggenpohl, bulthaup include their installation in their price.
The reason for no tax is you are makng a major capital improvement. It doesn’t matter who lives there. You included.
They give you a form that says just that and you sign it to eliminate the tax on the mci
Electricians do it too.
Google Certificate of Capital Improvement, ST124 – I think the labor provided by contractors is NY state exempt if you fill out this form. You are not exempt from taxes for the cabinets, just labor. Poggenpohl et al. may just be including taxes for the cabs in their estimate.