Free guide for contractors
Do contractors charge sales tax in the District of Columbia?
General information, not tax advice. Tax rules change and depend on the details of each job. Confirm how they apply to your business with your accountant or the state's revenue department before relying on them.
DC District of Columbia
Depends on the jobNot confirmed here. The District's contractor regulation could not be read for this review; maintenance and landscaping are taxable services.
D.C. Code treats the sale of materials used to build, repair or alter real property as a retail sale. That is how the District taxes a contractor's purchase of materials.
Real property maintenance and landscaping are taxable services in the District, and so is carpet and upholstery cleaning.
The District's regulation on construction contracts (9 DCMR 438), which sets out how different contract types are treated, could not be read from the official site for this review. This page does not state that rule.
The Office of Tax and Revenue gives the general sales tax rate as 6% through September 30, 2027. The same page says a planned increase has been postponed.
It turns on: how the contract is priced (not confirmed in this review); whether the work is maintenance or landscaping.
Watch out for
- Painting, wallpapering and other services performed as part of construction or major repairs are not taxable maintenance (D.C. Code § 47-2001(n)(1)(M)).
“The sale of or charges for the service of real property maintenance and landscaping”D.C. Code § 47-2001(n)(1)(M)