Is piano tuning done at a residence exempt from Kansas sales tax under the residential repair exemption?

Plain-English summary

A piano tuner asked whether tuning done at a customer's residence is subject to Kansas sales tax. Some customers were claiming the service had become exempt under Senate Bill 493, the 1998 law that exempts residential repair and remodel work. The Department said the tuning is still taxable.

The starting point — tuning is a taxable service. The Department noted that it "has historically taxed piano tuning" as a service that taxes "the servicing of tangible personal property," and that "[f]or many years, the Department of Revenue has held that piano t[u]ning is a taxable service." (The letter cites this subsection as "K.S.A. 79-3606(q)"; the servicing-of-tangible-personal-property language it describes is the tax imposed under K.S.A. 79-3603(q), so the "79-3606(q)" reference appears to be a typographical error for 79-3603(q).)

Senate Bill 493 does not exempt it. Senate Bill 493 became law on July 1, 1998, and exempts residential repair and remodel work; Notice 98-02 explains how it is administered. But that notice defines a residence as "a type of building that consists of its component parts and fixtures," and stresses that a residence "does not include the tangible personal property located within it, such as furniture and clothing." To be part of the building, components and fixtures must be physically connected as permanent improvements.

Why a piano does not qualify. While repair work at a residence is normally assumed exempt (because many repaired items are built into or connected to the home), "this is not the case with pianos or with most furniture." A piano is tangible personal property located in the residence, not a component of the building. So "[t]he exemption for residential repair and remodeling does not apply to pianos," and "piano t[u]ning and piano repairs continue to be subject to Kansas sales tax whether done at a residence or elsewhere."

Bottom line: the residential repair exemption covers work on the house itself, not services performed on movable property inside it. Because a piano is personal property, tuning and repairing it is taxable wherever it is done.

What this means for you

Piano tuners and instrument repair services

Charge Kansas sales tax on piano tuning and repair regardless of where you perform the work. The residential repair-and-remodel exemption does not apply, because a piano is tangible personal property in the home, not part of the building.

Other services performed on personal property in homes

The same logic reaches services performed on movable items inside a residence (like furniture). Doing the work at a home does not, by itself, make servicing that property exempt; the exemption is for work on the building's components and fixtures.

Customers claiming the residential exemption

Being at your residence does not exempt a service performed on your own personal property. Expect sales tax on piano tuning and similar servicing of items located in your home.

Common questions

Q: Is piano tuning taxable in Kansas if it is done at my house?
A: Yes. The Department ruled piano tuning and repairs remain taxable whether done at a residence or elsewhere.

Q: Doesn't Senate Bill 493 exempt residential repair work?
A: It exempts work on the residence itself — its component parts and fixtures. A piano is tangible personal property located in the home, not part of the building, so the exemption does not apply.

Q: Does the same rule apply to furniture in the home?
A: Yes. The notice the Department relied on treats furniture the same as a piano — personal property in the residence, not a component of the building.

Citations and references

• K.S.A. 79-3606(q) — the subsection the ruling cites for taxing the servicing of tangible personal property (piano tuning). The servicing-of-property language quoted is the tax imposed under K.S.A. 79-3603(q), so the ruling's "79-3606(q)" reference appears to be a typo for 79-3603(q); it is preserved here as written in the ruling.

Source

• Landing page: Kansas Department of Revenue Policy Information Library
• Original document: P-1999-229

Original ruling text

Private Letter Ruling

Body:

Office of Policy & Research

October 19, 1999

XXXX
XXXX
XXXX

RE: Your letter regarding Piano Tuning

Dear XXXX:

I have been asked to answer your letter about that taxability of piano tuning. As you are aware, the department has historically taxed piano tuning under K.S.A. 79-3606(q). This subsection taxes the servicing of tangible personal property.

You ask if piano tuning done at a residence is subject to sales tax. You indicate that some of your customers are claiming your services are now exempt because of Senate Bill 493. This bill became law on July 1, 1998 and exempts residential repair and remodel work. Before the law took effect, the department issued Notice 98-02 to explain how it would be administered. I have enclosed a copy of the Notice for you to have and review.

For many years, the Department of Revenue has held that piano turning is a taxable service. (See Question and Answer #123, Kansas Department of Revenue Policy Information Data Base). Whether Senate Bill 493 now exempts piano turning done at a residence is answered in Notice 98-02, at Paragraph III:

A residence is a type of building that consists of its component parts and fixtures, just as any other building. A residence does not include the tangible personal property located within it, such as furniture and clothing. . . .

To become part of a building, components and fixtures must be connected to the building by physical means, such as by bolts, nails, screws, cement, piping, or wire. Components and fixtures are intended to be permanent improvements to the building and make the building complete or habitable. Removal of a component or fixture would often damage the component or fixture or require the alteration or repair of the structure to which component or fixture is affixed. (emphasis added)

Normally, repair work done at a residence may be assumed to be exempt. This assumption applies since many items that are repaired in a home are either built into or connected to the residence. As the quoted discussion in the notice shows, this is not the case with pianos or with most furniture. The exemption for residential repair and remodeling does not apply to pianos, since they are considered to be tangible personal property located in the residence. Accordingly, piano turning and piano repairs continue to be subject to Kansas sales tax whether done at a residence or elsewhere.

This is a private letter ruling pursuant to K.A.R. 92-19-59. It is based solely on the facts provided in your request. If it is determined that undisclosed facts were material or necessary to an accurate determination by the department, this ruling is null and void. This ruling will be revoked by operation of law without further department action if there is a change in the controlling statutes, administrative regulations, revenue rulings or case law that materially effects this determination.

Sincerely,

Thomas E. Hatten
Attorney/Policy & Research

Enclosure

Date Composed: 11/01/1999 Date Modified: 10/11/2001

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