::Disclaimer: I'm not a tax professional and this is only friendly advice.
Use at your own risk::

My understanding is actual ad time (newspaper ads, TV ads, radio ads, etc)
are not taxable, but the creation of the ad is taxable, e.g. if you charged
to produce/modify the ad design. See, specifically, example 5 of this query
to the Comptroller's office:

http://aixtcp.cpa.state.tx.us/opendocs/open31/200106350l.html

The Comptroller's site is pretty good (
http://www.window.state.tx.us/taxinfo/sales/ ) and they do respond in
detail to e-mailed questions submitted via their form at
https://www.window.state.tx.us/taxhelp/ (sales and use tax would be the
area you're asking about). I sent a long, multipart question to them and,
after a few weeks, I got a detailed multipart response.

As far as the tax rate, it depends on your exact physical location. Within
Austin, it is 8.25% (6.25 to the state, 1 to Austin, 1 to CapMetro... but
the tax return will calculate that). You can look it up for your business's
address at:  https://ourcpa.cpa.state.tx.us/atj/addresslookup.jsp which
includes a link to the publication to help you determine which rates to
charge.

Hope that helps.
--
Brandon J. Kraft
*Coffea Web Services*

brandonkraft.com · coffeaweb.com

@kraft <http://twitter.com/kraft> · @coffeaweb<http://twitter.com/coffeaweb>

Tel: 512-476-3761 · 877-563-2467

SMS: 512-696-0411



On Tue, Jul 17, 2012 at 11:00 PM, Jim O <[email protected]> wrote:

> Hi All,
>
>
> I apologize for these basic questions.
>
> I am starting a small side business and charge for digital signage ads in
> retail stores.
> I do prepare the ads but for now am only charging for actual playtime.
>
> My question is do I charge sales tax for the playtime?
> If I did charge for layout is that taxable?
>
> What is the tax rate - Travis County?
>
> Thanks in advance.
>
> Jim O'Connor
>
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