This Ruling has been obsoleted in part by AN 2000(8)
The total gross receipts, inclusive of parts and labor, for repairing water pumps in residential or commercial property are subject to sales and use tax.
The installation of a water purification system performed in new construction or existing one, two or three family exclusively residential owner-occupied real property is not taxable.
The installation charge for replacement of an entire water purification system in an existing one, two or three family, exclusively residential, owner-occupied realty is not subject to sales tax.
The total sales price, inclusive of parts and labor, to repair part of a water purification system, such as the pump or other pieces of the hardware which is performed in residential or commercial property is subject to the tax.
The water purification system example would also apply to furnaces, oil burners, air conditioners, hot water heaters, water coolers, exhaust fans, as well as dishwashers, garbage disposals and similar items.
TIMOTHY F. BANNON
November 8, 1989