These transactions are considered sales to the State of Louisiana and are exempt from local sales tax. Pipe Coating, Bending, Galvanizing, Threading, and Wrapping Charges made for coating, wrapping, threading, and galvanizing of pipe and other property which have not been previously treated by such methods are considered to be fabrications. Fabrications are considered taxable sales and the vendor is required to collect sales tax on the selling price of the coating, wrapping, threading, and galvanizing transactions based on where the purchaser takes possession of the property. In addition, drilling holes in pipe is also considered a fabrication of tangible personal property. Sales tax is due on the full amount charged for this service, including materials and labor.
Taxes are due in the jurisdiction where the repair transaction is performed.
Pipe bending is not considered a taxable service. Returns bearing a U.S. postmark on or after the above delinquent dates will be assessed penalty, interest, and loss of vendor's compensation. Our mission is to provide taxpayers with information concerning developments and policies regarding the collection of local sales tax within East Baton Rouge Parish. The Revenue Division invites any suggestions, questions or comments that you would like addressed in future issues of Tax Facts . If you need assistance, help is just a phone call away.