Tax Type
Retail Sales and Use Tax
Description
Charges for development of slides and transparencies
Topic
Taxability of Persons and Transactions
Date Issued
05-11-1990
May 11, 1990
Re: §58.1-1821 Application/Sales and Use Tax
Dear ****
This will reply to your letter of February 12, 1990 seeking relief from tax and interest assessed on a recent sales and use tax audit of your client, ****.
Please find enclosed a copy of a recent ruling issued by the department dealing with a similar matter. As illustrated by the enclosed ruling, the "true object" sought by the Taxpayer's customers is the actual slides or transparencies obtained by them. Therefore, the Taxpayer must charge the tax on the total sales price of the slides or transparencies, including any services in connection with such sales.
I have also enclosed a copy of Virginia Regulation 630-10-82, which states that "the tax applies to sales of... slides from camera film." The regulation also states that "the tax... applies to aerial photographs, security photographs, audio-visual films, and similar items produced under a contractual agreement which includes design time and similar labor charges."
Based on the department's longstanding policy, as reflected in the enclosed ruling and regulation, I find no basis for relief from the tax assessed. For this reason, the outstanding tax and interest is now due and payable.
Sincerely,
W. H. Forst
Tax Commissioner
Rulings of the Tax Commissioner