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DO YOU TAX FOR FIRE INSPECTIONS IN NJ
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Ken,
My CPA contacted the state of NJ Div of tax about this and at first they couldn’t answer but today got the following email.
Barry Gulino
CWR Security Systems, Inc.
Manasquan, NJ
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 NJ.Taxation@treas.nj.gov
Subject: RE: Sales & Use Tax -
     A fire inspection is exempt because it is a professional/personal service, not as a non-enumerated testing service.
    A fire inspection service, which may be followed by the transfer of tangible personal property to the customer in the form of drawings or a customer report, is considered a professional or personal service transaction and is therefore exempt from Sales or Use Tax in New Jersey; provided that no separate charge is made for the drawings or report.
    Thank you for contacting the New Jersey Division of Taxation.
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RESPONSE
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    Thanks for sharing this information.  Keep in mind that not all states will have this same answer.  Best to check with your state tax department.  The Standard Form Agreements do provide for "plus tax" but obviously you collect the tax only when required and be sure to remit it to the state or tax agency.
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COMMENT ON CERTIFICATE OF INSURANCE FROM NOVEMBER 26, 2015 ARTICLE
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Ken
    In answer to Dan’s questions about insurance certificates and Additional Insured endorsements:
    The reason some insurers require a written contract is that their Blanket Additional Insured (AI) endorsements require it, stating that ‘coverage is automatically afforded the additional insured when required by contract.’  These Blanket AIs are attractive because they are often included in the policy when its issued, and once issued they don’t run up additional charges each time another entity wants the dealer to provide an AI certificate.  If Dan wants the certificate before the sub is under contract, he could ask for a copy of the sub’s blanket AI Endorsement and note where it says coverages is afforded ‘when required by contract’, and just make sure to have a contract in place before allowing the sub to work. 
    The alternative is for the Dan to have his company’s name printed on an actual endorsement from the carrier (not just an insurance broker’s certificate), but that custom endorsement may incur an additional premium.
    This also addresses Dan’s last question: Accord form certificates are like snapshots of a policy, but they are not the policy itself, and some requesting entities want something from the actual policy (either the Blanket or a stand-alone AI endorsement) to verify what kind of coverage is provided, or just to obtain additional proof of the coverage being in force.  This has become common enough that some dealers (or their brokers) default to including all the supporting paperwork each time an AI certificate is requested.
    Hope that helps.
Larry St John, CIC
Eclipse Marketing & Insurance Services
lstjohn@eclipseinsurance.com
707.469.6776 x102
www.eclipseinsurance.com
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Ken,
    Most blanket additional insured endorsements have language stating “where required by written contract or agreement” which is where the request is most likely stemming from.
Warmest regards,
Alice Cornett Giacalone, Senior Vice President
Central Insurance Agency
(v) 800-917-2542
aliceg@ciainsures.com
www.ciainsures.com
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RESPONSE
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    Thanks Larry and Alice for sharing your expertise.  CIA Insurance and Eclipse are both listed on The Alarm Exchange in the insurance broker category and if it's time to review your E&O policy give them a call.  Tell him I sent you.
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