This Ruling has been obsoleted by AN 94(4)
Marketing research services are exempt from the sales and use tax.
According to the information presented in your letter, you are hired by marketing research companies to contact and retain interviewing service firms, to write instructions pertaining to how the surveys will be performed and to oversee the interviewing process by contacting the interviewing service firms on a daily basis. You bill the marketing research companies for your services by the hour plus expenses. The interviewing service companies bill the marketing research firms directly for their services.
Based on the above set of facts, you render consulting services to marketing research companies that are taxable pursuant to section 12-407(2)(i)(J) of the Connecticut General Statutes, as amended by Public Act No. 89-251. The total sales price for your services, including reimbursable expenses are subject to sales or use tax.
The services you provide to out-of-state clients are not taxable when the sole benefit and use of the services inures outside the State of Connecticut.
September 6, 1989