S02 NY Tax Exempt Form.pdf

Department of Taxation and Finance

New York State and Local Sales and Use Tax

To vendors:

You must collect tax on any sale of taxable property or services unless the contractor gives you a properly

Name of seller Name of purchasing contractor

Street address Street address

City State ZIP code City State ZIP code

To contractors and vendors:

This form cannot be used to purchase motor fuel or diesel motor fuel exempt from tax.

1. I have been issued a New York State , , to collect

2. The tangible personal property or service being purchased will be used on the following project:

located at for and with pursuant to prime contract dated .

ST-120.1

(5/24)

A. The tangible personal property will be used in the above project to create a building or structure or to improve real property or to maintain, service, or repair a building, structure, or real property, owned by an organization exempt under Tax Law section 1116(a). ( , The tangible personal property will become an integral component part of such building, structure, or real property.

B. The tangible personal property is production machinery and equipment, and it will be incorporated into real property.

C. The tangible personal property will be used:

• in an Internet data center when the property is to be incorporated as part of a capital improvement; or

• directly and predominantly in connection with telecommunications services for sale or Internet access services for sale; or

• directly and predominantly by a television or radio broadcaster in connection with producing or transmitting live or recorded programs.

D. The tangible personal property, including production machinery and equipment, is for installation in the above project and will remain tangible personal property after installation.

E. The tangible personal property will become an integral component part of a building, structure, or real property, used predominantly (more than in a commercial horse boarding operation, or in both.

3. These purchases are exempt from sales and use tax because:

X

To be used only by contractors who are registered with the Tax Department for sales tax purposes.

of 4 ST-120.1 (5/24)

F. The machinery or equipment will be used directly and predominantly to control, prevent, or abate pollution or contaminants from manufacturing or industrial facilities.

G. The tangible personal property is residential or commercial solar energy systems equipment.

(Note: Item G purchases are exempt from exempt from local taxes. See instructions.)

H. The tangible personal property will be used directly and exclusively in adding to, altering, or improving a qualifying tenant’s leased premises

, provided that the tangible personal property becomes an integral component part of the building in which the leased premises are located, and where such qualifying tenant’s lease and delivered to the

I. The tangible personal property is machinery or equipment used directly and predominantly in loading, unloading, and handling cargo at a

This exemption does not apply to the local tax in New York City.

J. The tangible personal property is commercial fuel cell systems equipment. (Note: Item J

Item J purchases may be exempt from local taxes. See instructions.)

K. The tangible personal property will be used in a project for an exempt Housing Development Fund Corporation (HDFC).

L. The tangible personal property is residential energy storage systems equipment. See instructions.

M. The services are for the project described in line 2 on page 1 and will be resold. (This includes trash removal services in connection with repair services to real property.)

N. The services are to install, maintain, service, or repair tangible personal property used in an Internet data center, for telecommunication or Internet access services, or for radio or television broadcast production or transmission.

O. The services are to install, maintain, service, or repair tangible personal property that will be used predominantly either in farm production or in a commercial horse boarding operation, or in both provided such tangible personal property will become an integral component part of such structure, building, or real property.

P. The services are to install residential or commercial solar energy systems equipment.

Q. The services are to install tangible personal qualifying tenant’s lease and delivered to the directly and exclusively in adding to, altering, or improving a qualifying tenant’s leased premises

R. The services are to install or maintain commercial fuel cell systems equipment.

S. The services are to install residential energy storage systems equipment.

Caution: Contractors may not customers in connection with a project. Construction equipment, tools, and supplies purchased or rented for use in

I certify that the above statements are true, complete, and correct, and that no material information has been omitted. I sales or use taxes do not apply to a transaction or transactions for which I tendered this document and that willfully issuing this document exemptions claimed and the accuracy of any information entered on this document.

Type or print name and title of owner, partner, or authorized person of purchasing contractor

Signature of owner, partner, or authorized person of purchasing contractor Date prepared

Only a contractor who has a valid issued by the Tax Department may use this exempt purchase or to a subcontractor to purchase services tax exempt. This from sales or use tax on tangible personal property or services tangible personal property or services tax exempt on the basis that Form ST-124, , has been furnished by the project owner to the contractor.

, for each project.

Purchase orders showing an exemption from the sales or use project where the property will be used, as well as the name and address of the project owners (see page 1 of this form). Invoices and sales or delivery slips must also contain this information (name and address of the project for which the exempt purchases will be used or where the exempt services will be rendered, as shown on page 1 of this form).

Note: Unless otherwise stated, the customer must furnish the contractor a properly completed Form ST-121, from tax only on purchases of that is:

A. Incorporated into real property under the terms of a contract entered into with an exempt organization that has furnished governmental purchase order, or voucher.

B. Production machinery or equipment that will be incorporated into real property.

C. Used in one of the following situations:

property related to providing website services for sale to be installed in an Internet data center when the property is to be incorporated as part of a capital improvement.

The customer must furnish the contractor a completed Form ST-121.5,

• Used directly and predominantly in the receiving, initiating, amplifying, processing, transmitting, re-transmitting, switching, or monitoring of switching of telecommunications services for sale, or Internet access service for sale.

property (including parts, tools, and supplies) used by a television or radio broadcaster directly and predominantly in the production and post-production of live or recorded programs used by a broadcaster predominantly for broadcasting by the broadcaster either over -the- air or for transmission through a cable television or direct machinery and equipment include cameras, lights, sets, costumes, and sound equipment.) This exemption also includes machinery, equipment, and other tangible personal property used by a broadcaster directly and predominantly to transmit live or recorded programs.

D. Installed or placed in the project in such a way that it remains tangible personal property after installation. The contractor must collect tax from its customer when selling such tangible personal property or related services to the customer, unless the customer gives the contractor an

E. Going to become an integral component part of a structure, building, or real property used predominantly (more than commercial horse boarding operation, or in both, for which the customer has provided the contractor a completed Form ST-125, F.

to control, prevent, or abate pollution or contaminants from manufacturing or industrial facilities.

G. Residential or commercial solar energy systems equipment.

means an arrangement or combination of components installed in a residence that utilizes solar radiation to produce energy designed to provide heating, cooling, hot water, and/or electricity.

means an arrangement or combination of components installed upon nonresidential premises that utilize solar radiation to produce energy designed to provide heating, cooling, hot water, or electricity. The exemption is allowed

The customer must furnish the contractor a completed Form ST-121 by completing the box marked (U.)

and for an exception relating to recreational equipment used for storage, as well as for

H. Delivered and used directly and exclusively in adding to, altering, or improving a qualifying tenant’s leased premises

, provided that the tangible personal property becomes an integral component part of the building in which the leased premises are located, and where such tenant’s lease.

I.

facilities located in New York City. The machinery and equipment must be used directly and predominantly in loading, unloading, and handling cargo at marine terminal facilities located in New York City that handled more than purposes of this exemption, the term means a unit of volume equivalent to the volume of a twenty-foot container.

This exemption does not apply to the local tax in New York City.

ST-120.1 (5/24) of 4 Instructions

J. Commercial fuel cell systems equipment.

means an electric generating arrangement or combination of components that is installed upon nonresidential premises and utilizes solid oxide, molten carbonate, a proton exchange membrane, phosphoric acid, or a linear generator to provide heating, cooling, hot water, or electricity. The exemption is allowed rate, if applicable. The exemption does not apply to local

The customer must furnish the contractor a completed Form ST-121 by completing the box marked (U.). See for more information.

K. For use in a project for an exempt HDFC that has furnished the contractor with a copy of the exemption letter issued to them by the Tax Department.

L. Residential energy storage systems equipment.

means an arrangement or combination of components installed in a residence that stores electricity for use at a later time to provide heating, cooling, hot water, or electricity. The exemption

The customer must furnish the contractor a completed Form ST-121 by completing the box marked (U.).

for more information.

exemption from tax on the following services:

M. Installing tangible personal property, including production machinery and equipment, that does not become a part of the real property upon installation.

Repairing real property, when the services are for the project named on page 1 of this form and will be resold.

Trash removal services rendered in connection with repair services to real property, if the trash removal services will be resold.

Note: Purchases of services for resale can occur between prime contractors and subcontractors or between two subcontractors. The retail seller of the services, generally the prime contractor, must charge and collect tax on the contract price, unless the project owner gives the retail seller of the service a properly completed exemption

N. Installing, maintaining, servicing, or repairing tangible personal property used for Web hosting, telecommunication or Internet access services, or by a broadcaster (described in item C on page 3).

O. Installing, maintaining, servicing, or repairing tangible personal property that will be used predominantly either in farm production or in a commercial horse boarding

P. Installing qualifying residential or commercial solar energy systems equipment (described in item G on page 3).

Q. Installing tangible personal property delivered to and used directly and exclusively in adding to, altering, or improving a qualifying tenant’s leased premises for use as property becomes an integral component part of the building in which the leased premises are located.

of 4 ST-120.1 (5/24)

R. Installing or maintaining commercial fuel cell systems equipment (described in item J above).

S. Installing residential energy storage systems equipment (described in item L above).

civil and criminal sanctions in addition to the payment of any tax and interest due. These include:

and a possible jail sentence; and

• revocation of your , if you are

, for more information.

To the seller When making purchases that qualify for exemption from sales and use tax, the contractor must provide you with this exemption exemption.

As a New York State registered vendor, you may accept an will be considered valid if it is:

• accepted in good faith;

• properly completed (all required entries were made).

fraudulently given, and you exercise reasonable ordinary due share with the purchaser the burden of proving the sale was exempt.

Failure to collect sales or use tax, as a result of accepting you personally liable for the tax plus any penalty and interest charges due.

You must maintain a method of associating an invoice (or other source document) for an exempt sale with the exemption your sales tax return to which it relates, or the date the return

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