Which residential appliance repair services did Texas classify as taxable or nontaxable?

Plain-English summary

The Texas Comptroller gave an item-by-item tax matrix for residential appliance service.

The following service was nontaxable:

• central air conditioning;
• built-in dishwashers;
• disposals;
• built-in ranges;
• built-in microwave ovens;
• ceiling fans;
• attic fans; and
• built-in trash compactors.

The following service was taxable:

• window air conditioning;
• portable dishwashers;
• washing machines;
• clothes dryers;
• portable ranges;
• portable microwave ovens;
• refrigerators; and
• ice makers.

What this means for you

Appliance repair businesses

The letter generally separated built-in or central equipment from portable and freestanding appliances, but use its exact item list rather than assuming every product follows that pattern.

Homeowners and property managers

Two appliances serving a similar function could receive different treatment depending on whether they were built in or portable.

Accountants and tax professionals

Record the precise appliance type and whether it was built in, portable, central, or window-mounted.

Common questions

Q: Was central air-conditioning service taxable?
A: No.

Q: Was window air-conditioning service taxable?
A: Yes.

Q: Were built-in dishwasher repairs taxable?
A: No, while portable-dishwasher repairs were taxable.

Q: Were refrigerator repairs taxable?
A: Yes.

Q: Were built-in microwave repairs taxable?
A: No, while portable-microwave repairs were taxable.

Citations and references

• The letter refers to an October 2, 1983 sales-tax change but provides no statute or rule number.

Source

• STAR search: https://star.comptroller.texas.gov/search?doc_type_code=L&tax_type_code=SST
• Opinion: https://star.comptroller.texas.gov/view/8411L0603E05

Original ruling text

November 6, 1984

Dear **:

Thank you for your October 22, 1984 letter concerning the effect of the
October 2, 1983 sales tax law changes on your business.

The items that you service and their tax status follow:

central air conditioning - nontaxable
window air conditioning - taxable
dishwasher (built-in) - nontaxable
dishwasher (portable) - taxable
washing machines - taxable
clothes dryers - taxable
disposals - nontaxable
ranges (built-in) - nontaxable
ranges (portable) - taxable
microwave ovens (built-in) - nontaxable
microwave ovens (portable) - taxable
ceiling fans - nontaxable
attic fans - nontaxable
refrigerators - taxable
trash compactors (built-in) - nontaxable
ice makers - taxable

Please feel free to contact me if you have additional questions. You
may write me, call toll free 1-800-252-5555 from anywhere in Texas or
phone 512/475-1931.

Sincerely,

Eddie C. Washington
Tax Policy Section
Tax Administration Division