Boat docks installed by a contractor are real property. The contractor must pay sales or use tax on the materials purchased.
- The contractor doesn’t charge tax to the customer.
- Repair of the dock is a real property repair. The contractor who repairs the dock must pay sales or use tax on the materials.
Tangible personal property
Sellers of docks, without installation, are retailers of tangible personal property. Retailers must collect sales tax if they don’t install it or pay a third party to install it.
Examples of taxable items include:
- A boat lift or other equipment that doesn’t become real property
- The sale, rent or lease of equipment
- Repair parts
Note: Renting dock space is renting real property and isn’t taxable.