Wis. Admin. Code § Tax 11.49 — Service stations and fuel oil dealers

Tax 11.49(1) (1) Taxable sales. Sales by service station operators and fuel oil dealers subject to the sales tax include the following:

Tax 11.49(1)(a) (a) The sale of furnace or heating fuel to customers, other than for residential or farm use.

Tax 11.49(1)(b) (b) The repair, service, alteration, fitting, cleaning, painting, coating, inspection, and maintenance of motor vehicles, including the total amount charged for parts and labor and including motor vehicles and truck bodies owned by nonresidents except as provided in sub. (2) .

Tax 11.49(1)(c) (c) The towing of motor vehicles, which includes the hauling of motor vehicles by a tow truck, as defined in s. 340.01 (67n) , Stats.

Tax 11.49(1)(d) (d) Retail sales of tangible personal property and items, property, and goods under s. 77.52 (1) (b) , (c) , and (d) , Stats., including motor oil, antifreeze, motor vehicle parts and supplies, tobacco products, candy, and soft drinks by service stations except as provided in sub. (2) .

Tax 11.49(1)(e) (e) Charges for car washes, whether automated or not.

Tax 11.49(1)(f) (f) Providing parking for motor vehicles. Providing temporary storage of a motor vehicle is considered parking if the vehicle is ready and available for immediate use.

Tax 11.49(2) (2) Exempt sales. Sales by service station operators and fuel oil dealers not subject to the sales tax include the following:

Tax 11.49(2)(a) (a) Sales of gasoline, general aviation fuel and special fuel including diesel and L.P. fuel, which are subject to the Wisconsin motor vehicle fuel taxes under ch. 78 , Stats. The holder of a Wisconsin special fuel license may issue an exemption certificate to purchase special fuel without sales tax. On special fuel which a licensee puts into highway motor vehicles, the licensee is required to pay the special fuel tax. If motor fuel or special fuel is purchased without tax under s. 77.54 (11) , Stats., because it is subject to the excise tax imposed under ch. 78 , Stats., and then the excise taxes are later refunded under s. 78.75 , Stats., because the buyer does not use the fuel in operating a motor vehicle upon the public highways, the fuel is subject to the tax, unless otherwise exempt under s. 77.54 (1) , (3) , (5) , (6) (am) 3. , (9a) , (12) , (13) , (30) (a) , Stats., or other exemptions in subch. III of ch. 77 , Stats.

Tax 11.49(2)(b) (b) Sales made directly to this state or any agency thereof, the University of Wisconsin Hospitals and Clinics Authority, the Wisconsin Aerospace Authority, the Wisconsin Economic Development Corporation, and the Fox River Navigational System Authority; any county, city, village, town, or school district in this state; a county-city hospital established under s. 66.0927 , Stats.; a sewerage commission organized under s. 281.43 (4) , Stats., or a metropolitan sewerage district organized under ss. 200.01 to 200.15 or 200.21 to 200.65 , Stats.; any other unit of government in this state or any agency or instrumentality of one or more units of government in this state; any federally recognized American Indian tribe or band in this state; any joint local water authority created under s. 66.0823 , Stats.; any corporation, community chest fund, foundation, or association organized and operated exclusively for religious, charitable, scientific, or educational purposes, or for the prevention of cruelty to children or animals, except hospital service insurance corporations under s. 613.80 (2) , Stats., no part of the net income of which inures to the benefit of any private stockholder, shareholder, member, or corporation; certain title holding entities described under section 501 (c) (2) of the Internal Revenue Code that are exempt from federal income tax under section 501 (a) of the Internal Revenue Code and organized for the exclusive purpose of holding title to property, collecting income from that property, and turning over the entire amount of that income, less expenses, to an entity described under s. 77.54 (9a) (f) , Stats.; a local exposition district under subch. II of ch. 229 , Stats.; a local cultural arts district under subch. V of ch. 229 , Stats. Sales to a cemetery company or corporation described under section 501 (c) (13) of the Internal Revenue Code, are exempt from sales and use tax if the cemetery company or corporation uses the items exclusively for the purposes of the company or corporation. Section 77.55 (1) , Stats., provides an exemption for sales to the United States, its unincorporated agencies and instrumentalities, and any incorporated agency or instrumentality of the United States wholly owned by the United States or by a corporation wholly owned by the United States. Sales to employees of these entities are not exempt, even though the entity may reimburse the employee for the expenditure.

Tax 11.49(2)(bg) (bg) Sales made to a state veterans organization, as defined in s. 45.41 (1) (b) , Stats., except property and services used primarily in preparing, storing, serving, selling, or delivering food and beverages, including products and services for cleaning machinery and equipment used for the food and beverages that are sold by the veterans organization.

Tax 11.49(2)(c) (c) Sales of accessories, attachments, parts, supplies, and highway fuel for common or contract carrier motor trucks, truck tractors, road tractors, buses, trailers, and semi-trailers used exclusively in common or contract carriage, including the urban mass transportation of passengers as defined in s. 71.38 , Stats. This exemption applies to purchases for school buses operated under contract with a public or private school to transport students. A station wagon or van which is not registered as a bus or truck with the division of motor vehicles in the Wisconsin department of transportation does not qualify for this exemption.

Tax 11.49(2)(d) (d) Sales to farmers of parts and repairs for tractors or farm machines used exclusively and directly in farming, but this exemption does not apply if these items are used in motor vehicles for highway use.

Tax 11.49(2)(e) (e) Sales to farmers of fuel used in farming.

Tax 11.49(2)(f) (f) Sales of general aviation fuel to persons using aircraft as certified or licensed carriers of persons or property in interstate commerce are exempt under s. 77.54 (5) (a) , Stats.

Tax 11.49(2)(g) (g) Sales of coal, fuel oil, propane, steam, peat, fuel cubes produced from solid waste, wood, and biomass as defined in s. 196.378 (1) (ar) , Stats., used for fuel sold for residential use. In this paragraph, “residential use” means use in a structure or portion of a structure which is a person’s permanent residence as defined in s. Tax 11.57 (2) (q) 2. and 3.

Tax 11.49(2)(h) (h) Sales of repairs, services, alterations, fitting, cleaning, painting, coating, towing, inspection, and maintenance services to common or contract carrier vehicles exempt under sub. (2) (c) , mobile mixing and processing units and the vehicle or trailer on which they are mounted, and motor vehicles not required to be licensed for highway use which are exclusively and directly used in conjunction with waste reduction or recycling activities.

Tax 11.49(2)(i) (i) Sales of accessories, attachments, parts, supplies, and materials for mobile mixing and processing units and the vehicle or trailer on which they are mounted, including highway fuel for units operated on public highways.

Tax 11.49(2)(j) (j) Sales of any residue used for fuel in a business activity that results from the harvesting of timber or the production of wood products including slash, sawdust, shavings, edgings, slabs, leaves, wood chips, bark and wood pellets manufactured primarily from wood or wood residue.

Tax 11.49(2)(k) (k) Sales of fuel consumed in manufacturing tangible personal property, or items or property under s. 77.52 (1) (b) or (c) , Stats., in Wisconsin.

Tax 11.49(2)(L) (L) Sales of fuel consumed in operating an industrial waste treatment facility.

Tax 11.49(3) (3) Purchases.

Tax 11.49(3)(a) (a) Service station operators who repair motor vehicles may purchase, without tax, “for resale,” repair parts and materials used in the work which are physically transferred to their customers. This includes auto parts, chassis lubricants, wheel greases, car waxes, paints, paint hardeners, plastic body fillers, and welding rods.

Tax 11.49(3)(b) (b) A service station operator’s purchases of equipment, tools, supplies, and other property, items, or goods not physically transferred to customers as part of the performance of a taxable service are subject to the sales and use tax. Supplies such as sandpaper, masking paper, masking tape, buffing pads, paint and lacquer thinner, clean and glaze compound, paint remover, tack rags, steel wool, metal conditioner, lacquer removing solvent, rubbing compound, wax and grease remover, fluxing materials, disc adhesives, and other property or items used or consumed in performing motor vehicle repair service are taxable.