Ala. Admin. Code r. 810-6-1-.187
Current through Register Vol. 43, No. 1, October 31, 2024
Where an unsatisfactory article is returned to the seller for replacement or repair under a warranty contract between the seller and his customer and the new article is given in exchange or defective parts are replaced at a reduced price, the amount of sales tax on such exchange or replacement shall be measured by the reduced price plus the fair and reasonable market value of any unsatisfactory article or part kept by the seller. In instances where there is no charge for the article given in exchange or for the replacement parts no tax is due. § 40-23-2(1).
Author:
Ala. Admin. Code r. 810-6-1-.187
Statutory Authority:Code of Ala. 1975, § 40-23-31.