As of January 1, 2017 the state of North Carolina now requires a sales tax on HVAC and other services. This tax will be added to most services we offer. Including, repairs, maintenance and certain installations. Services performed in the following fields are included; automotive, electrical, plumbing, and other contractors such as heating and air companies. With O’Brien Service Company falling under this category, we have started applying a 7% tax to our services. For more information on the NC sales tax on services for 2017 continue reading.
In March of 2016 North Carolina extended the state tax to real property maintenance plans. They consider a HVAC system real property. So, we were required to collect sales tax on the price of our Energy Savings Club. With the new regulations that started January 1, 2017 all of our services will now include a tax. The only exceptions being real estate inspections and qualifying new equipment installations. The tax will apply to the labor, diagnostic, and parts. Our service technicians will calculate this tax into the final cost for you.
We realize that with maintenance contracts we promoted a specific price for diagnostic service calls. Unfortunately, we have no control over these additional fees. We appreciate your understanding. See below for some updated prices for services we offer.
Prices After the NC Sales Tax on Services for 2017
- Diagnostic (Residential): $89.00 + $6.23 tax = $95.23
- ESC Member Diagnostic (Residential): $54.95 + $3.85 tax = $58.80
- One Time Seasonal Maintenance (Residential): $119 + $8.33 tax = $127.33
- After Hours Diagnostic (Residential): $109 + $7.63 tax = $116.63
- Commercial Diagnostic: $109 + $7.63 tax = $116.63
We hope this was article was informational. Also, you can visit the North Carolina Department of Revenue’s page for further information on the NC sales tax on services for 2017. Again, we appreciate your understanding that this is a state tax, and not our company’s prices increasing. If you ever have any questions regarding a bill from O’Brien Service Company, do not hesitate to contact us! You can reach the office at (910) 799-6611 during office hours.
