Current through Register Vol. XLI, No. 38, September 20, 2024
99.1. Persons who are engaged in a business
and are deemed to be professionals, such as lawyers, doctors, and any other
person considered to be a professional pursuant to Section 8.1.1 of these
regulations, are not required to collect and remit consumers sales and service
tax on their services rendered or on any sales of tangible personal property
incidental to such services. However, such professionals must pay consumers
sales and service tax on all purchases for use in their business, except for
purchases for resale when the resale is a nonprofessional sale subject to the
consumers sales and service tax, for which an exemption certificate may be
issued.
99.2. Persons who provide
continuing professional education and self-study courses leading to
satisfactory fulfillment of continuing professional education requirements may
be considered to be professionals.
99.2.1. A
professional nonprofit organization or other person providing continuing
professional education courses to members of a recognized profession is itself
engaged in the provision of professional services which are excepted from the
consumers sales and service tax. However, the nonprofit professional
organization rendering professional services must pay consumers sales and
service tax on all sales to it of tangible personal property (including leases
thereof) or taxable services unless the transactions are otherwise
exempt.
99.2.2. Meals, food and
beverages and written materials, provided as an incidental component of a
course of continuing professional education the cost of which is included in
the registration fee charged the participant or purchaser of the continuing
professional education, are excepted from the consumers sales and service tax
as an integral part of the professional services.
99.2.3. Written course materials, purchased
separately from the professional nonprofit organization, which qualify for
continuing professional education credits, also constitute the provision of
professional services and are exempt from consumers sales and service tax when
the purchaser obtains continuing professional educational credit in conjunction
with such purchase through the use of such written materials. If written
materials are purchased by a professional primarily for reference, and no
professional education credit is provided, such purchase of written materials
is subject to consumers sales and service taxes.
99.2.4. If a sale of tangible personal
property or taxable services by a West Virginia vendor is exempt from consumers
sales and service tax, a sale of the same nature is exempt from West Virginia
use taxes when the sale is made by an out-of-state vendor. If the sale by a
West Virginia vendor is taxable for consumers sales and service tax purposes,
then the sale of the same or similar property or services by an out-of-state
vendor will be subject to West Virginia use taxes, with credit being allowed
for consumers sales and service taxes lawfully paid on the transaction to
another state. Whether the vendee pays use tax to the vendor or remits it
directly to the Tax Commissioner depends on:
(1) whether the out-of-state vendor is
authorized or required to collect West Virginia use taxes;
(2) whether the exemption is a refundable
exemption or one for which an exemption certificate may be given; and
(3) whether the vendee has and
uses its West Virginia direct pay permit number.
