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What labor is taxable in Nebraska?

What labor charges are taxable? Charges for production and assembly labor are taxable. Charges for repair and installation labor are taxable when the property being repaired, replaced, or installed is taxable. See Sales and Use Tax Regulation 1-082, Labor Charges.

What is an Option 2 contractor in Nebraska?

Contractor is any person who repairs property annexed to real estate, who annexes building materials and fixtures to real estate, or who arranges for such annexation. A contractor who elects Option 2 is the consumer of building materials and fixtures purchased and annexed to real estate.

Do contractors charge sales tax in Nebraska?

Contractors making over-the-counter sales must collect and remit Nebraska and applicable local sales tax on the total sales price, including all amounts charged to build or assemble the item sold.

How do I become an independent contractor in Nebraska?

To register as a contractor, you will need to log into your profile at dol.nebraska.gov/conreg. If you have not created a profile on the website, you will be required to do so before registering your business.

Does labor need to be taxed?

Many sellers believe there is a general exemption from sales tax for labor charges. However, in California many types of labor charges are subject to tax. Tax applies to charges for producing, fabricating, or processing tangible personal property for your customers.

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