Virginia Administrative Code
Title 23 - TAXATION
Agency 10 - DEPARTMENT OF TAXATION
Chapter 210 - RETAIL SALES AND USE TAX
Section 23VAC10-210-860 - Linen supply
A person engaged in the business of maintaining and preparing textile products for rental or lease is a lessor of tangible personal property and must collect and pay the tax on gross rental receipts. This includes the rental of coats, caps, aprons, dresses, uniforms, smocks, towels, linens, diapers and similar articles to individuals, barber shops, beauty parlors, work shops, and other establishments. Items used exclusively for rental purposes can be purchased tax exempt.
Tangible personal property including machinery, tools, repair parts or replacements thereof and supplies and materials used directly by an industrial processor engaged in maintaining and preparing textile products for rental or lease is not subject to tax. For laundry and dry cleaning establishments, see 23VAC10-210-810.
Statutory Authority
§ 58.1-203 of the Code of Virginia.