LR 8251
Taxability of Waste Removal Service
June 28, 2023
Dear Applicant:
This is a letter ruling issued by the Director of Revenue under Section 536.021.10, RSMo, and Missouri Code of State Regulations 12 CSR 10-1.020, in response to your letter dated May 4, 2023.
The facts as presented in your letter ruling request are summarized as follows:
Applicant provides waste removal services to residential and commercial customers. The customers fill a roll off container then pay applicant to remove the waste.
ISSUE:
Does Applicant need to collect Missouri sales tax on their charges for waste removal services?
RESPONSE:
No. Applicant does not need to collect Missouri sales tax on their charges for waste removal services.
Section 144.020.1, RSMo, provides: "A tax is hereby levied and imposed [...] upon all sellers for the privilege of engaging in the business of selling tangible personal property or rendering taxable service at retail in this state."
Waste removal services are not one of the enumerated taxable services in Missouri. Therefore, Applicant does not need to collect Missouri sales tax on their charges for waste removal services.
This letter ruling is binding upon the Department of Revenue with respect to the Applicant for three (3) years from the date of this letter and is subject only to statutory changes by the General Assembly and to changes in the interpretation of law by the courts or administrative tribunals. If a change occurs, the taxpayer who relies upon an outdated interpretation may be subject to additional taxes, interest and penalties, which may be imposed prospectively from the date of the change. For this reason, the interpretation set forth above should be reviewed on a regular basis. Please note that any change in or deviation from the facts as presented will render this ruling inapplicable.
Should additional information be needed, please contact Legal Counsel J. Ross Shelton, General Counsel's Office, Post Office Box 475, Jefferson City, Missouri 65105-0475, phone (573) 751-0961.
Sincerely,
Wayne Wallingford