Storm Shelters Qualify For Tax SavingsFriday, July 29, 2011 | 01:10 pm
Tennesseans Constructing or Improving Storm Shelters Can Receive Refunds for Sales Tax
NASHVILLE – Tennessee taxpayers who purchase qualifying building supplies to construct storm shelters between July 1, 2011 and December 31, 2011 can save up to $2,500 on sales tax paid on certain construction supplies, due to recently passed legislation.
Individuals constructing or improving storm shelters that purchase qualifying building supplies may file a claim for refund for sales tax paid on these items. Also, individuals may claim a refund for tax paid by a contractor who purchases eligible items to improve or build a storm or tornado shelter at the individual’s primary residence. Contractors must provide an itemized invoice to their customers so the customer is able to properly submit their refund claim with the Tennessee Department of Revenue.
“The Department of Revenue is ready to assist all qualifying individuals with their refund claims,” Department of Revenue Commissioner Richard H. Roberts said. “We hope this savings allows more citizens to take the opportunity to ensure the safety of their loved ones.”
Items eligible for refund of Tennessee sales taxes paid include sheetrock, insulation, flooring, construction tools, paint materials, hardware, brick, concrete block, lumber, and other building materials. Only items priced at $3,200 or less per item qualify for the sales tax refund.
A Storm or Tornado Shelter Claim for Refund form must be submitted, along with copies of receipts showing Tennessee sales tax paid on supplies. Copies of invoices from contractors detailing items purchased and sales tax paid, along with copies of proof of payment and other documents are also required.
The limit available to any one residence is $2,500 of sales taxes paid. A taxpayer may submit only one claim for refund and must do so no later than February 1, 2012.
Taxpayers can obtain more information on this refund by visiting the Department of Revenue’s Web site, at www.TN.gov/revenue. Callers may also call the Department’s toll-free statewide telephone hot line, (800) 342-1003. Staff is available to answer questions Monday through Friday 7 a.m. to 5 p.m. Central Time. (Out-of-state and Nashville-area callers, please dial (615) 253-0600.)
The Department of Revenue is responsible for the administration of state tax laws and motor vehicle title and registration laws established by the legislature and the collection of taxes and fees associated with those laws. The Department of Revenue collects approximately 91 percent of total state tax revenue. During the 2011 fiscal year, the department collected $10.5 billion in state taxes and fees. In addition to collecting state taxes, the Department of Revenue collects taxes for local, county and municipal governments. During the 2011 fiscal year, local government collections by the Department of Revenue exceeded $2.0 billion in local taxes and fees. In collecting taxes, the department enforces the revenue laws fairly and impartially in an effort to encourage voluntary taxpayer compliance. The department also apportions revenue collections for distribution to the various state funds and local units of government. To learn more about the department, log on to www.TN.gov/revenue.