Common Contracts
1 similar Warranties and Maintenance Agreements contracts
WARRANTIES and MAINTENANCE AGREEMENTSWarranties and Maintenance Agreements • November 11th, 2021
A manufacturer’s initial warranty generally provides for the repair or replacement of defective property or parts while the product is under warranty at no charge to the purchaser. This warranty is usually included in the purchase price paid for the property. Authorized dealers or repair agents subsequently remove property from inventory in order to replace the defective parts. This inventory, presumably purchased tax fee for resale, is not subject to additional sales/use tax because it was included in the taxable purchase price paid for the original product.
