Re: Off contract soon with the Fake Apex...

[Nomen Nescio <nobody@xxxxxxxxx>]

>Group: Does anyone charge TAX on alarm services, or is Dan being ripped
>off here, too, by the Fake Apex?

Some states do charge sales tax on services as well as sales of equipment,
and there are other tax issues as well.

When the alarm company retains ownership of the equipment, some states
treat an alarm service contract as partly a charge for services and partly
a lease of equipment.  They consider the lease portion of the transaction
to be subject to sales tax, just like a car lease payment.

The other potential issue is property tax.  If a company like Brinks
retains ownership of the equipment, some states want to charge property tax
on the value of that equipment.  Some alarm companies have gotten caught
owing a large bill for back taxes over this.  Companies like Brinks often
include something in their customer contracts allowing them to pass the
taxes on to the customer, in addition to the usual monthly rate.