Were fire-scene analysis services performed for insurance companies subject to Connecticut sales and use tax?

Note -- superseded historical guidance. DRS marks this information "not current" and states that Ruling 94-10 superseded this ruling.

Plain-English summary

Insurance companies hired the requester to determine a fire's cause and origin, decide whether the insured was involved, document the scene for possible subrogation, and provide a documented evaluation to the client.

DRS concluded that those fire-scene analyst services were not subject to sales and use tax.

What this means for you

The historical result was tied to the listed investigative and reporting services for insurers. Ruling 94-10 later superseded the guidance.

Common questions

Were the fire-scene analyst services taxable? No under the ruling.

What work did the analyst perform? Cause-and-origin analysis, assessment of insured involvement, scene documentation, and a written evaluation for the insurance-company client.

Citations and references

• Ruling 94-10 -- identified by DRS as superseding this ruling.

Source

• Landing page: Connecticut DRS Rulings
• Ruling: Ruling 89-220

Original ruling text

Ruling 89-220, Consulting

This information is not current and is being provided for reference purposes only

Ruling 89-220

Consulting

This Ruling has been superseded by   Ruling 94-10

You state that you are hired by insurance companies to provide the following services:

Form an opinion of the cause and origin of a fire in order to determine whether the fire was accidental or intentional;

Determine if the insured is or is not involved in the causation of the fire;

Document the fire scene to preserve critical information should subrogation develop; and

Present client (usually insurance company) with a well documented evaluation of the cause and origin for the fire in question. This has become more necessary as the local and state fire Marshall's offices cut back their staff.

Based on the facts contained in your letter, it is the opinion of the Legal Division that your services as a "fire scene analyst" are not subject to the sales and use tax.

LEGAL DIVISION

November 15, 1989