STATE AND LOCAL SALES AND USE TAXES. The OWNER qualifies for exemption from the state and local sales and use taxes, pursuant to the provisions of Section 151.309 of the Texas Limited Sales, Excise and Use Tax Act. Therefore, the CONTRACTOR shall not pay such taxes which would otherwise be payable in connection with the performance of this Contract. The CONTRACTOR shall issue an exemption certificate in lieu of the tax on the purchase, rental or lease of:
A. all materials, supplies, equipment and other tangible personal property incorporated into the real property being improved; and
B. all materials, supplies, equipment and other tangible personal property used or consumed by the CONTRACTOR in performing the Contract with the OWNER. Materials and supplies “used in the performance of a contract” include only those materials actually incorporated into the property being improved and those supplies directly used to incorporate such materials into the property being improved. Overhead supplies and supplies used indirectly or only incidental to the performance of the Contract with the OWNER are not included in the exemption. Under “reasons said purchaser is claiming this exemption” in the exemption certificate, the CONTRACTOR must name the OWNER and the project for which the equipment, material and supplies are being purchased, leased or rented.
STATE AND LOCAL SALES AND USE TAXES. The Owner qualifies for exemption from the state and local sales and use taxes pursuant to the provisions of Section 151.309, Texas Tax Code. Therefore, the Contractor shall not pay these taxes which would otherwise be payable in connection with the performance of this Work. The Contractor shall issue an exemption certificate in lieu of the tax on the purchase of:
(a) all materials, supplies, equipment and other tangible personal property incorporated into the real property being improved;
(b) all materials, supplies, equipment and other tangible personal property used or consumed by the Contractor in performing the Work. “Materials and supplies used in the performance of the Work” includes only those materials actually incorporated into the property being improved and those supplies directly used to incorporate such materials into the property being improved. Overhead supplies and supplies used indirectly or only incidental to the performance of the Work are not included in the exemption. Under “reasons said purchaser is claiming this exemption” in the exemption certificate, the Contractor must name the Owner and the project for which the equipment, material, and supplies are being purchased.
STATE AND LOCAL SALES AND USE TAXES. Unless Supplementary Conditions contains a statement that the VILLAGE is exempt from State sales tax on materials incorporated into the work due to the qualification of the work under this Contract, all State and local sales and use taxes, as required by the laws and statutes of the State and its political subdivisions, shall be paid by the CONTRACTOR. Prices quoted in the Proposal shall include all nonexempt sales and use taxes, unless provision is made in the proposal form to separately itemize the tax.