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Ruling 90-79

Crane and Rigging Services


Company's transportation, crane and rigging services include the delivery and/or removal of machinery or equipment which does not become a structural component of industrial, commercial, or income-producing real property (for example, delivery and setting in place of manufacturing machinery in a factory building). Such equipment may be repaired or maintained by an independent third party after which Company will pick up, deliver and offload it at the building and set it in place. Company does not perform any of the work involved with connecting or disconnecting the equipment.


The installation of manufacturing machinery or some other item which does not become a structural component of a building does not constitute a taxable service to industrial, commercial or income-producing real property under Section 12-407(2)(i)(I) and, therefore, is not subject to sales and use tax under Section 12-407(8)(e).

The services associated with the delivery and removal of machinery or equipment to be repaired or maintained, or installation of machinery or equipment which has been repaired or maintained are not subject to tax under Section 12-407(2)(Q) or (DD) as (i) repairs to electrical or electronic devices or (ii) maintenance or repair service to tangible personal property.


December 20, 1990