Sales tax on APU

[davelees1]

We are having a Powertech APU installed on our truck at Fyda Freightliner in Columbus, Ohio. They are telling me we have to pay Ohio sales tax on this, almost $600. Does any one know if these are sales tax exempt like our truck was when we bought it?

 

[Crazynuff]

Need more details . Was your truck bought used ? Some states don't charge sales tax on used trucks . An APU is also subject to excise tax if installed within 6 months of truck purchase . IRS says aftermarket APUs can be taxed - CCJ Magazine . Now excise tax laws are confusing . I know they are different for tractors. Freightliner lost a huge suit brought by the IRS a few years ago for not collecting sales tax on RV haulers sold with 5th wheels . After that dealers would sell the rigs without 5th wheels and owners would have aftermarket shops install the 5th wheels

 

[riverrat]

if you live in Ohio they are full of crap it is exempt under Ohio revised code section 5739.02.b33
[transportation for hire]

 

[davekc]

Not sure on Ohio, but in many states they will add the apu at the sales price if the vehicle is new.

Based on the provided article, it looks like if you question it, you have a chance of paying.

 

[davelees1]

Sorry, It's a used 2004 truck. They are not trying to tack on the 12% excise tax (which is a total crock for all of the benifits of the APU, I would think the feds would give us a tax BREAK for anyone installing an APU on a new or used truck!), it's the 6% (or so) Ohio sales tax I'm questioning. I didn't pay Ohio state sales tax when I bought the truck, I just presented the FedEx tax ID number when I got the title transfered.

 

[davekc]

Since it is going on a used one, I would say you have to pay the tax.
Another place to call might be OOIDA 800-444-5791

 

[riverrat]

get it from the horses mouth call the Oh. dept. of taxation they that is where I got the tax code info from

 

[charlee]

In Ohio. with a PUCO number, anything to be used in transportation for hire is sales tax exempt. One of the reasons we actually bought a house here and established our company here.



-charlee

 

[dieseldiva]

In Ohio. with a PUCO number, anything to be used in transportation for hire is sales tax exempt. One of the reasons we actually bought a house here and established our company here.



-charlee

I think this might be correct. It being Fed Ex's PUCO number, they could probably answer the question for you.

 

[davelees1]

Yep, picked the truck up today, filled out a tax exempt form with EIN, PUCO and DOT numbers and did not have to pay Ohio sales tax on the APU. This saved about 600 bucks. Thanks for the input everyone!

 

[jaymarquis1]

with your mc# they are sold as a buissness to buissnes and you do not have to pay sales tax.

 

[JohnMueller]

To All;

Here is the info on the sales tax exemption directly from the Ohio Department of Taxation website:

"The sale, lease, repair, and maintenance of, parts for, or items attached to or incorporated in, motor vehicles that are primarily used for transporting tangible personal property by a person engaged in highway transportation for hire."

I provide towing service to a person that is engaged in highway transportation for hire (e.g. trucking company). Should I collect the sales tax?
Yes. As shown in question 16, the exemption for persons engaged in transportation for hire applies to the sale, lease, repair, and maintenance of, parts for, or items attached to the motor vehicle. Towing service would not be included under this or any other exemption.

You can visit the website for all the particulars at Ohio Department of Taxation

I hope this clarifies for all.

Thanks,
HotFr8Recruiter