Common use of Transportation Tax Exemption Clause in Contracts

Transportation Tax Exemption. The State, or a political subdivision of a State, including an agency or instrumentality thereof, in the case of a contractor, need not pay the tax on transportation of property imposed by Section 3475 of the Internal Revenue Code. The SELLER must consign such materials to the State or political subdivision. Accordingly, OWNER authorizes SELLER to have construction materials, necessary for actual incorporation in the project covered by this contract, consigned to the OWNER in care of the SELLER. OWNER will act as the purchaser of record and SELLER need not pay federal transportation tax. The SELLER must pay for all materials consigned hereunder, or any or all cost with the furnishing of said materials to the project, including all transportation costs and incurred demurrage. However, nothing herein shall be construed to transfer risk of loss or responsibility for any part of the Work to OWNER before delivery and acceptance thereof at the f.o.b. point of delivery at the job site.

Transportation Tax Exemption. The State, or a political subdivision of a State, including an agency or instrumentality thereof, in the case of a contractor, need not pay the tax on transportation of property imposed by Section 3475 of the Internal Revenue Code. The SELLER must consign such materials to the State or political subdivision. Accordingly, OWNER authorizes SELLER to have construction materials, necessary for actual incorporation in the project covered by this contract, consigned to the OWNER in care of the SELLER. OWNER will act as the purchaser of record and SELLER need not pay federal transportation tax. The SELLER must pay for all materials consigned hereunder, or any or all cost with the furnishing of said materials to the project, including all transportation costs and incurred demurrage. However, nothing herein shall be construed to transfer risk of loss or responsibility for any part of the Work to OWNER before delivery and acceptance thereof at the f.o.b. point of delivery at the job site.