FREQUENTLY ASKED QUESTIONS

Here are the most important reasons why we must Eliminate Property Tax.

– Because Private Property Ownership is Central to a Free Society

– Because Property Taxed is Property Not Owned at All

– Because No Tax should have the Power to Leave Us Homeless

Our government requires that we either pay perpetual rent on the property we “own” or face prosecution. Which ensures we never really own it at all. That message is clear: we live on our land at the government’s mercy.

Our Founders did not pledge their “lives, fortunes and sacred honor” to secure their rights to “roads, schools, and public services.”

They considered property ownership an “inalienable right,” just like life and liberty.

“Among the natural rights of the colonists are these: first, a right to life; second, to liberty; third, to property; together with the right to support and defend them in the best manner they can….”  Sam Adams, “The Rights of the Colonists” November 20, 1772

“Property is surely a right of mankind as real as liberty.”  John Adams, “Discourses on Davila”

Property must be secured or liberty cannot exist.  John Adams, “Discourses on Davila”

“Now what liberty can there be where property is taken away without consent?”  Sam Adams, “The Rights of the Colonists”

“No power on earth has a right to take our property from us without our consent.“ —  John Jay, Address to the People of Great Britain

Many of the principles that guided them came from philosopher, John Locke. In his Second Treatise of Government, Locke said, “Government has no other end but the preservation of property.”

That’s why our Founders created these institutions in the first place.

And they believed that if government can take it away “without consent” then we don’t own either our property or our liberty.

George Washington delivered the following message to the Continental Army. While looking out into New York Harbor, they saw, forming against them, the largest British expeditionary force in that nation’s history until the First World War.

“The time is now near at hand which must probably determine whether Americans are to be freemen or slaves; whether they are to have any property they can call their own; whether their houses and farms are to be pillaged and destroyed, and themselves consigned to a state of wretchedness from which no human efforts will deliver them.

The fate of unborn millions will now depend, under God, on the courage and conduct of this army. Our cruel and unrelenting enemy leaves us only the choice of brave resistance or the most abject submission.

We have, therefore, to resolve to conquer or die.”  Battle of Long Island 27 Aug 1776

Property Tax is Feudalism.

It comes down from a system first instituted in 1066 by England’s William the Conqueror. Here’s how it worked.

After conquering England, William divided it with his supporters who paid a tax to hold their land. Those landholders (Barons) received the Crown’s protection and could rent the property. Those feudal tenants (Vassals) renting the land, live on and work it for a fee. But anyone who missed paying that tax, forfeited their land.

In the Virginia Company Charter, King James made sure that system followed settlers to Jamestown. The Charter assured the protection of the Crown, but settlers paid a share of profits. Buy or sell the land, but landholders always paid the King (for his protection, of course). This happened to all thirteen colonies.

https://www.theatlantic.com/business/archive/2016/08/the-feudal-history-of-property-tax-in-america/497099/

Our Courts have declared that property tax is legal because it pre-existed in common law. Which is true. However, our two most important founders, Thomas Jefferson and John Adams, said the pre-existing common law was inapplicable.

Jefferson wrote in “Summary View of the Rights of British America,”

“In the earlier ages of the Saxon settlement feudal holdings were certainly altogether unknown; and very few, if any, had been introduced at the time of the Norman conquest. Our Saxon ancestors held their lands, as they did their personal property, in absolute dominion, disencumbered with any superior, answering nearly to the nature of those possessions which the feudalists term allodial.”

(The term allodial is defined as, “Free from the tenurial rights of a feudal overlord.” And the meaning of tenurial is, “The holding of property by a superior in return for services to be rendered.”)

Those who lost the Battle of Hastings lost their property. William the Norman gave it with feudal duties to those whom he wanted to have it.

Jefferson continued, “Feudal holdings were therefore but exceptions out of the Saxon laws of possession, under which all lands were held in absolute right. These, therefore, still form the basis, or ground-work, of the common law, to prevail wheresoever the exceptions have not taken place. America was not conquered by William the Norman, nor its lands surrendered to him, or any of his successors. Possessions there are undoubtedly of the allodial nature.”

In “Dissertation on the Canon and Feudal Law” (1764) John Adams declared that Canon Law was “Ecclesiastical Tyranny,” Feudal Law was “Civil Tyranny” and America was free from both.

“It was this great struggle, that peopled America. It was not religion alone, as is commonly supposed; but it was a love of universal Liberty, and a hatred, a dread, an horror of the infernal confederacy before described, that projected, conducted, and accomplished the settlement of America.”

“After their arrival here, they began their settlement, and formed their plan both of ecclesiastical and civil government, in direct opposition to the canon and the feudal systems.”

Can a “feudal” property tax be imposed by delegation? Here’s what Samuel Adams said in “Rights of Colonists.”

“…it is the greatest absurdity to suppose it in the power of one, or any number of men, at the entering into society, to renounce their essential natural rights, or the means of preserving those rights; when the grand end of civil government, from the very nature of its institution, is for the support, protection, and defense of those very rights; the principal of which, as is before observed, are Life, Liberty, and Property. If men, through fear, fraud, or mistake, should in terms renounce or give up any essential natural right, the eternal law of reason and the grand end of society would absolutely vacate such renunciation. The right to freedom being the gift of God Almighty, it is not in the power of man to alienate this gift and voluntarily become a slave.”

English philosopher, John Locke said in his “Second Treatise of Government,”

“…no body can transfer to another more power than he has in himself; and no body has an absolute arbitrary power over himself, or over any other, to destroy his own life, or take away the life or property of another.”

Like William the Norman, your State has assumed authority over your property, and enslaved you to sustain it. And no authority can be delegated to take another’s property for the same.

This is Civil Tyranny.

Because no tax should have the power to leave you homeless.

“Property tax itself is unfair. Any amount. What it boils down to is, the government owns it, not you. Period!!!!! …That’s why I’m trying to shift from a property tax system to a consumption tax system so you control what you pay.” – Greg Abbott, 14 APR 2019; Twitter

“…while property tax abolishment is not the focus of this particular bill (SB1-85R), it has my full support. This is evidenced by my joint-authorship of HJR 21 (abolish M&O property tax) during this current special session.” – Dennis Bonnen, HD25 (Angleton); Facebook, 12 AUG 2017

“…people don’t ever actually own their home anymore. They are in a constant tenant relationship with the State….” – Senator Larry Taylor, SD11 (Pearland); Texas Senate Select Committee on Property Tax Reform Hearing, 06 FEB 2019

“Our constituents are demanding that we look at a consumption tax to abolish property taxes so this nightmare won’t continue to happen.” – Senator Brandon Creighton, SD4 (Conroe); Texas Senate Select Committee on Property Tax Reform Hearing, 29 NOV 2018

“I’m all for a consumption tax in order to eliminate property taxes.” – Representative Dwayne Burns, HD58 (Cleburne)

“We need to replace property tax with a consumption tax.” – Senator Pete Flores, SD19 (San Antonio); The Texan’s Podcast, 24 JUN 2019

We’re not handing a problem to the Legislature telling them, “Go fix it!” We’re presenting a solution. It’s the only comprehensive solution ever proposed to the Legislature. 

In 2013, Rep. George Lavender (HD1) sponsored HB3742 (83R), a 224-page bill that resulted from a detailed, 159-page fiscal analysis that Economist/Attorney Rick Cunningham did in 2010. Harvey Hilderbran, Chair of the Ways & Means committee sent HB3742 to the Legislative Budget Board and Legislative Counsel for review. Unfortunately, time ran out, the 83rd session ended, and we saw it shelved with no one returning to carry it forward.

Here is its simplest distillation.

Abolish 60+ taxes (including sales, property and franchise), replacing them all with a 7% consumption tax.

This is not adding “another new tax.” Nor is it increasing sales or any other existing tax. Instead, it restructures the Texas tax system into a simple, efficient and transparent, consumption-based tax of 7%. That’s it.

On the simplest, macro-level, here’s how our bill works.

We need $86B to replace all revenue that HB3742 (83R) would abolish. Texas GDP is $1.9T. A tax rate of 7% on the whole economy would capture $133B. We assume up to 35% would be exempt, the net is the $86B.

HB3742 (83R) replaces all revenue from the taxes it eliminates. The infrastructure needed for the collection and distribution of revenues by the state already exists in the sales tax system.

Just as they do today, the State Comptroller will collect, apportion and allocate local revenues to local taxing authorities. The current tax cap for Municipalities will rise from 1/2% to a 1%. The cap for Counties will remain at 1%, but the broader tax base will produce higher revenues. School districts will be allowed up to 1/2% within their boundaries for enrichment purposes. Other local taxes are included at reduced rates, but total local burden is capped at 3%.

Here’s what Senior Economist Dr. Vance Ginn, the Texas Public Policy Foundation’s former Director of the Center for Economic Prosperity, said in his invited testimony to the House Ways & Means Committee in February 2019.

“Property Taxes are regressive in nature…. Lower income people who are trying to buy their first home can’t often afford it because the property tax is too high. Or those who have already paid off their mortgage often times they’re paying more in property tax than they ever did on their mortgage….” 

On average across Texas, property tax is equal to about 50% of a homeowner’s mortgage. That’s why a property tax is the “most regressive,” hitting the low and middle-income homeowner the hardest.

HB3742 continues to exempt items like groceries, medicines, health care and other basic needs. It’s the disproportionate percentage of such families’ incomes spent on these items that would make a consumption taxes regressive. But HB3742 expands those exemptions to make sure that these individuals and families are not disproportionately impacted by it.

That’s why HB342 will benefit the low and middle-income Texans the most.

Not without every Texas Taxpayer’s approval.

.HB3742 has a control to prevent politicians from jacking the tax up without discretion.

Although a single consumption tax is transparent, it’s also powerful. Even a small increase in the rate, results in an enormous amount of additional tax revenues. That’s why a constraint was included in HB3742 to mitigate this. Raising the tax, any amount, requires a referendum vote. And there is no hiding a change in rate that everyone sees and must pay with every purchase.

That’s much more transparent to all Texans than the Rube Goldberg system of 60+ taxes we have today.

No.

While there are many that have much lower property tax, every State has them. Depending on who’s study you read, Texas ranks from 6th to 3rd highest. 

https://wallethub.com/edu/t/states-with-the-highest-and-lowest-property-taxes/11585/fbclid=IwAR3iBAIj6qk547DC_kIyivqBTFgCEK3Hf8VRal57H8whRRfJlzKKxxAOWWY

You’ll find several studies by the Texas Public Policy Foundation (TPPF) over the last 10 years that answer that question. You can find that research in our Files Section. 

TPPF estimates that the pro-growth, pro-families effects of this single reform will create anywhere from 127,700 to 312,700 new jobs in Texas, and increase Texans’ personal incomes by an aggregate of between $21.3 billion to $52.1 billion, or between 2 and 4.3%, over the first five years.

The average Texas property buyer will pay in property tax an equivalent of about 50% of their mortgage. If every Texas property buyer had 50% more in their budgets to spend they would be able to more easily afford a first home, buy more land or a bigger commercial facility.

Imagine Texas becoming the first state without a property tax.  Businesses would relocate here like there was a gold rush. Millions of job seekers and homebuyers would do the same. 

Yes. To pass HB3742 and Eliminate Property Tax, we’ll need every one of our 1.8 million Texas businesses on our side. Besides, any tax on our businesses ultimately becomes a hidden tax paid by Texas consumers.

Texans don’t want any kind of tax on their property. 

That’s why, in 2015, 86% of Texas voters approved a constitutional ban on taxing real estate transactions. But on average, Texans today pay an equivalent amount of about 50% of their mortgage in property tax. 

If we Eliminate Property Tax without taxing property sales,
every Texas property buyer would have 50% more in their budgets to spend. That may result in a first or better home, more land, a bigger commercial facility or better location.

Not any more than they would today.

A 7% consumption tax is little more than what consumers pay today. A plethora of hidden taxes, some which become a tax on a tax on a tax, will be gone from the cost of products and services, too. That lowers prices and helps their economy.

Gone. 

When we Eliminate Property Tax, we Eliminate Appraisal Districts. There will be no need for them. And they cost Texans an estimated $Billion annually. We also eliminate any need for organizations that benefit from the business of endlessly fighting appraisals and appeals for taxpayers.

The annual ritual of reappraisals, hearings & denials ends for Texas property owners.

“Gradualism in theory is perpetuity in practice.” – William Lloyd Garrison, American Abolitionist

We’ve been trying that for the last 80 years. Property Tax Relief and Reform schemes have been tried over and over and over. They always fail.

During the nationwide property tax revolt of the “Great Depression” politicians created the Homestead Exemption to provide relief. They implemented Sales Tax to provide reform and halt rising property taxes.

In more recent times, there have been three major attempts.

Twenty years ago, the Homestead Exemption was increased but school district property taxes continued to rise.

Ten years ago, a new tax, called the Business Franchise Tax swap was supposed to bring reform. Instead, it brought Texans an increase in both local property and state taxes.

Three years ago, the Homestead Exemption increased again.

Did any of this stop property taxes from rising?

Every Relief and Reform proposal has been like an Oncology Doctor telling us, “We’re only going to slow the growth of that tumor that’s killing you.” 

You know trying the same thing over and over is futile. You know it will never produce a different result. And if we only eliminate some of these taxes, the Legislature will just continue raising the others.

Absolutely.

That’s why in the spring 2018 primary, 68% of Texas voters passed Proposition One to “replace the property tax system with an appropriate consumption tax equivalent.”

That’s why during the summer 2018 convention, 94% of 8,000 Texas Republican Party delegates voted to “abolish property tax.”
 
That’s why, for the last 10 years, the Republican Party of Texas Platform resolved to “replace the property tax system….”
 
People are angry everywhere across our country over outrageous increases in property tax and the corruption it fosters. But more and more Texans are starting to understand, the increasing theft and misuse of our money is NOT the primary problem.
 
It’s the civil tyranny and unconstitutional violation of our natural right to own our personal property.

Renters bear a massive property tax burden.

While the Texas homeowner, business and agricultural property owners are all protesting property tax, renters are far from exempt.

Most never realize they are paying an outrageous amount of tax levied on rental properties.

Why?

Because renters never get homestead exemptions. Because the disabled, the veteran, and the senior citizen forfeits any of their exemptions, too. And while appraisal increases are capped for homesteads, there’s no cap on rental properties.

Between 2009 and 2018, the Harris County Appraisal District reported that the average taxable value on single-family homes increased by 41%. But multifamily homes increased by 129%. That’s more than 3-times faster!

It’s time for renters to wake up and realize, they are being plundered the most by their local governments.

No. There aren’t.

While there are cities like Stafford that have no “city” property tax, every county in Texas has them.

King County collects the highest property tax in Texas, levying an average of $5,066.00 (1.56% of median home value) yearly in property taxes.

Terrell County has the lowest property tax in the state, collecting an average tax of $285.00(0.67% of median home value) per year.

http://www.tax-rates.org/texas/property-tax

Eliminating Property Tax is not a hallucination. There are entire nations that run their governments without a property tax. Texas can, too. 

Where to Buy Property Without Paying Property Tax

Economist/Attorney, Rick Cunningham did the research and wrote HB3742 (83R).

It was the result of Rick’s attempted to discover past research on how we could Eliminate Property Tax. Although he found “macro-level” studies, he found nothing “that looked in detail at every taxing jurisdiction of the state” (5,000+ today).

Rick did his own study to find out “what does the picture look like if you tried to tinker with sales tax?” He concluded that by using sales tax, “there was no way… to do a wholesale replacement of the property tax.”

That led Rick to ask, “What would happen if instead of looking at what we have and trying to figure out how we fix it, suppose we didn’t have anything?”

Using that approach, he started with three key objectives.

1. Generate sufficient revenues to fund the government the electorate has chosen.

2. Distribute taxes equitably so all taxpayers bear a reasonable, fair share.

3. Create an efficient and transparent collection process.

He concluded that a value-added tax would best meet all the criteria (at an acceptable rate of 7%).

Once Rick had completed his analysis down to every taxing jurisdiction he concluded that HB3742 would fully fund 95% of the counties in Texas. That left a small percentage of jurisdictions that would need to be funded by additional means. For some, it could be as simple as joining special purpose jurisdictions together into larger, consolidated regions of their county.

No. Unfortunately, it can’t.

Economist / Attorney Rick Cunningham did his own study to find out “what does the picture look like if you tried to tinker with sales tax?” He concluded that by using sales tax, “there was no way… to do a wholesale replacement of the property tax.” But he concluded that the consumption tax that would best Eliminate Property Tax is a Value-Added Tax (VAT).

A lot of people get unduly alarmed when the hear “VAT.” 

A VAT is just a tax on every sales transaction, either business to business or business to consumer. And remember, we’re not just going to eliminate property tax. We’re eliminating sale, franchise and about 60 others, too.

Here are some myths about a VAT from opponents.

1. A VAT is “hidden” tax.
A VAT is recorded on the invoice of every goods or services sold. It’s about as “hidden” as a sales tax.

2. A VAT is paid by businesses.
A VAT is paid by whoever is the final consumer. Like all taxes, hidden or transparent, they are passed on to the consumer in the final price.

3. A VAT compounds with each transaction.

A VAT does not compound. Here’s an example of how it works.

You buy $5 of baking goods, bake a cake and sell it for $10. If sales tax were 10%, the baking goods would still costs $5 (resale products are sales tax exempt). But the consumer’s price is $11. The sales tax collected is $1.

With a VAT, the $5 of baking goods cost $5.50. (The grocer collects a 10% VAT and pays $0.50 on the sale.) You sell your cake for $11, but the VAT you pay to the state is only $0.50. (You get to deduct the VAT you already paid.) The government gets $0.50 + 0.50 = $1.00.

4. Imported goods pay less VAT and local firms are disadvantaged.

A consumer pay the same 10% on imported goods as local goods. There’s no difference.

Tax fraud is a problem with sales tax. Anyone with a sales tax exemption may potentially purchase products and evade paying sales tax. The loss of revenue compounds with the cost of enforcement, too. With a VAT, compliance is much easier while tax fraud and evasion are more difficult and less likely. 

That’s because everyone pays a VAT on every purchase. Everyone. As a business, you get your money back when you resell, charge a VAT and offset what you paid with the VAT you collected. But tax fraud just does not work. That’s why, at the same rate as a sales tax, collections and revenues are higher.

On a macro-level, a Sales Tax does work.

If Texas has $1.6T of GDP and HB3742 eliminates $80B, a 7% sales tax with 25% of products and services exempt, nets $84B. So, on that level, it works.

But when you get down to every one of 5,000+ individual taxing jurisdictions, that’s where it begins to fail. That’s because some of the “special purpose” jurisdictions (which were started only because those who did this knew they could collect property taxes) have little or no sales. No sales, no sales tax. Or they have so little, it would take a 25% sales tax to make up the lost property tax. 

As an example, there is an affluent bedroom community in Houston called Piney Point. A lot of very high value homes, but zero retail sales or services. Hugh property taxes, zero sales taxes. In that community, there’s no way to replace the property tax lost with a sales tax.

When Economist / Attorney Rick Cunningham completed his analysis down to every taxing jurisdiction, he concluded that by using a VAT, HB3742 would fully fund 95% of the counties in Texas. But there was still that small percentage of jurisdictions that would need to be funded by other means.

For some, it may be as simple as joining special purpose jurisdictions together into larger, consolidated regions of their county or going countywide. Nevertheless, there are still some challenges to resolve. We just have to get all these brilliant people who say, “It can’t be done!” to start looking through the other end of the telescope and figure out how.

Yes. We can still exempt the same products and services that we do today.

Groceries
Prescription & Over-the-Counter Drugs
Medical Devices & Services
Motor Vehicles Leases & Rentals
Machinery
Raw Materials
Utilities & Fuel
Transportation Services

https://www.salestaxhandbook.com/texas/sales-tax-exemptions

The following table, from the Federation of Tax Administrators, provides a comprehensive list of sales taxed services in other states and compares them to Texas. An “E” denotes an item that currently excluded in Texas. In total, we tax 100 of 183. 

Agricultural Services      Business Services    
Soll prep., custom baling, other ag. services    Sales of advertising time or space:   
Veterinary services (both large and small animal)    Billboards  E
Horse boarding and training (not racehorses)    Radio & television, national advertising  E
Pet grooming  6.25   Radio & television, local advertising  E
Landscaping services (Including lawn care)  6.25   Newspaper  E
      Magazine  E
Industrial and Mining Services      Advertising Agency Fees (not ad placement)  E
Metal, non-metal and coal mining services    Armored car services  6.25
Seismograph & Geophysical Services    Bail bond fees  E
Oil Field Services  2.42   Check & debt collection  6.25
Typesetting service; Printing Platemaking  6.25   Commercial art and graphic design.  6.25
      Commercial linen supply  6.25
Construction      Credit information, credit bureaus  6.25
Gross Income of Construction Contractors  6.25   Employment agencies  E
Carpentry, painting, plumbing and similar trades.  6.25   Interior design and decorating  E
Construction service (grading, excavating, etc.)  6.25   Maintenance and janitorial services  6.25
Water well drilling    Lobbying and consulting  E
      Marketing  E
Transportation Services      Packing and crating  E
Income from Intrastate transportation of persons    Exterminating (includes termite services)  6.25
Local transit (Intra-city) buses    Photocopying services  6.25
Income from taxi operations    Photo finishing  6.25
Intrastate courier service  6.25   Printing  6.25
Interstate air courier (billed In-state)  6.25   Private investigation (detective) services  6.25
      Process server fees  E
Storage      Public relations, management consulting  E
Automotive storage  6.25   Secretarial and court reporting services  E
Food storage    Security services  6.25
Fur storage  6.25   Sign construction and installation  E
Household goods storage    Telemarketing services on contract  E
Mini -storage    Telephone answering service  6.25
Cold storage    Temporary help agencies  E
Marina Service (docking, storage, cleaning, repair)  6.25   Test laboratories (excluding medical)  E
Marine towing service (Ind. tugboats)    Tire recapping and repairing  E
Travel agent services    Window cleaning  6.25
Packing and crating       
         
Utility Service – Industrial Use      Computer     
Intrastate telephone & telegraph  6.25   Software – package or canned program  6.25
Interstate telephone & telegraph  6.25   Software – modifications to canned program  6.25
Cellular telephone services  6.25   Software – custom programs – material  6.25
Electricity  6.25   Software – custom programs – professional serv.  6.25
Water    Internet Service Providers-Dialup  6.25
Natural gas  6.25   Internet Service Providers-DSL or other broadband  6.25
Other fuel (Including heating oil)  6.25   Information services  6.25
Sewer and refuse, Industrial  6.25   Data processing services  6.25
      Mainframe computer access and processing serv.  6.25
         
Utility Service – Residential Use      Computer Online Services    
Intrastate telephone & telegraph  6.25   Online Data processing services New  6.25
Interstate telephone & telegraph  6.25   Software – Downloaded New  6.25
Cellular telephone services  6.25   Books – Downloaded New  6.25
Electricity    Music – Downloaded New  6.25
Water    Movies/Digital Video – Downloaded New  6.25
Natural gas    Other Electronic Goods – Downloaded New  6.25
Other fuel (Including heating oil)  6.25      
Sewer and refuse, residential 6.25      
         
Finance, Insurance and Real Estate      Automotive Services     
Service charges of banking Institutions    Automotive washing and waxing.  E
Insurance services  6.25   Automotive road service and towing services  E
Investment counseling    Auto service (except repairs, incl. painting & lube)  E
Loan broker fees    Parking lots & garages  6.25
Property sales agents (real estate or personal)    Automotive rustproofing & undercoating E
Real estate management fees (rental agents)       
Real estate title abstract services    Admissions & Amusements    
Tickertape reporting (financial reporting)  6.25   Pari-mutuel racing events.  6.25
      Amusement park admission & rides  6.25
Personal Services      Billiard parlors  6.25
Barber shops and beauty parlors    Bowling alleys  6.25
Carpet and upholstery cleaning  6.25   Cable TV services  6.25
Dating services    Direct Satellite TV  6.25
Debt counseling    Circuses and fairs (admission and games)  6.25
Diaper service  6.25   Coin operated video games  E
Income from funeral services    Admission to school and college sports events  E
Fishing and hunting guide services    Membership fees in private clubs.  6.25
Garment services (altering & repairing)  6.25   Admission to cultural events  6.25
Gift and package wrapping service    Pinball and other mechanical amusements  6.25
Health clubs, tanning parlors, reducing salons  6.25   Admission to professional sports events  6.25
Laundry and dry-cleaning services, coin-op    Rental of films and tapes by theaters  E
Laundry and dry-cleaning services, non-coin op  6.25   Rental of video tapes for home viewing  6.25
Massage services  6.25      
900 Number services  6.25   Professional Services     
Personal instruction (dance, golf, tennis, etc.)    Accounting and bookkeeping  E
Shoe repair  6.25   Architects  E
Swimming pool cleaning & maintenance  6.25   Attorneys  E
Tax return preparation  E   Dentists  E
Tuxedo rental  6.25   Engineers  E
Water softening and conditioning  E   Land surveying  6.25
      Medical test laboratories  E
      Nursing services out-of-hospital  E
      Physicians  E
         
Leases and Rentals        Fabrication, Installation and Repair Services     
Personal property, short term (generally)  6.25   Custom fabrication labor  6.25
Personal property, long term (generally)  6.25   Repair material, generally  6.25
Bulldozers, draglines, const. mach. (short term) 6.25   Repair labor, generally  6.25
Bulldozers, draglines, const. mach. (long term) 6.25   Labor – aircraft repair  E
Rental of hand tools to licensed contractors 6.25   Labor – interstate vessels repairs   E
Short-term automobile rental  6.25   Labor – intarstate vessels repairs   E
Long-term automobile lease  6.25   Labor – commercial fishing vessels repairs E
Limousine service (with driver)  E   Labor – railroad rolling stock repairs E
Aircraft rental to individual pilots, short term  6.25   Labor – repairs to motor vehicles  E
Aircraft rental to individual pilots, long term  6.25   Labor – radio/TV repairs; other electronic equip.  6.25
Chartered flights (with pilot)  E   Labor – repairs other tangible property  6.25
Hotels, motels, lodging houses  6   Labor – repairs or remodeling of real property  6.25
Trailer parks – overnight  E   Labor – repairs delivered under warranty  E
      Service contracts sold at the time of sale of TPP 6.25
      Installation charges – persons selling property  6.25
      Installation charges – other than seller of goods  E
      Custom processing (on customer’s property)  6.25
      Custom meat slaughtering, cutting and wrapping  E
      Taxidermy  6.25
      Welding labor (fabrication and repair)  6.25