Ezel / Tax Rulings / CT
CT Ruling 89-185 Sales and Use Taxes 1989-10-31

Was pond construction subject to Connecticut sales and use tax as a landscaping or horticultural service?

Short answer: Yes under this historical ruling. Pond construction was taxable as landscaping and horticultural service work whether performed for residential or industrial, commercial, or income-producing property. DRS says AN 94(4) and AN 2000(8) obsoleted the ruling.

Apply this to your situation

This page answers the general question as of 1989. Ezel answers yours, under current Connecticut tax law, with citations.

Currency note: this ruling is from 1989
Subsequent statutory amendments, regulation changes, court decisions, or later rulings may have changed the analysis. Treat this page as historical context, not current tax advice. Verify current law before relying on any specific rule, rate, or position mentioned here.
Disclaimer: This is an official 1989 Connecticut Department of Revenue Services Ruling reflecting the landscaping-service rule then in effect for pond construction. DRS expressly marks the information 'not current' and says Announcement (AN) 94(4) and Announcement (AN) 2000(8) obsoleted it. Its classification across residential and business property should not be assumed current. Connecticut imposes sales and use tax solely at the state level: there are no local or municipal sales taxes. This summary is informational only and is not legal or tax advice. Consult a licensed Connecticut tax professional about your specific situation.
About this page: The plain-English summary, reader guidance, and Q&A below were written by Ezel based on the official state tax ruling. The original ruling (linked on this page as a PDF) is the authoritative source for any reliance.
View original ruling (PDF)

Note -- obsolete historical guidance. DRS marks this information "not current" and states that Announcement (AN) 94(4) and Announcement (AN) 2000(8) obsoleted the ruling.

Plain-English summary

DRS treated pond construction as a taxable landscaping and horticultural service.

The ruling applied that service tax to work on residential property as well as industrial, commercial, and income-producing property.

What this means for you

The historical ruling did not limit the pond-construction tax to business property. AN 94(4) and AN 2000(8) later obsoleted the guidance.

Common questions

Was pond construction taxable? Yes under the ruling.

Did the tax apply to residential property? Yes.

Did it apply to industrial, commercial, and income-producing property? Yes.

Citations and references

  • Conn. Gen. Stat. § 12-407(2)(i)(X), as cited in the ruling.
  • Public Act No. 89-251, as cited in the ruling.
  • Announcement (AN) 94(4) and Announcement (AN) 2000(8) -- identified by DRS as obsoleting this ruling.

Source

Original ruling text

Ruling 89-185, Landscaping

This information is not current and is being provided for reference purposes only

Ruling 89-185

Landscaping

This Ruling has been obsoleted by   AN 94(4) ;  obsoleted by  AN 2000(8)

In response to your recent inquiry, this letter is to advise you that it is the opinion of the Legal Division that the construction of a pond is subject to the sales and use tax as a landscaping and horticultural service pursuant to section 12-407(2)(i)(X) of the Connecticut General Statutes, as amended by Public Act No. 89-251.

Because "landscaping and horticultural services" are now among our enumerated services, the sales tax is applicable to services rendered both to residential property, as well as to industrial, commercial and income-producing property.

LEGAL DIVISION

October 31, 1989

Get today's answer for your situation

You just read a 1989 ruling on this question. Ezel checks current Connecticut tax law and answers your specific situation, with citations.

Opens in Ezel Pro. Every answer cites the authority it relies on.