Excluding from sales taxation the service of installing or applying tangible personal property for the reconstruction, restoration, remodeling, renovation, repair or replacement of a building or facility.

SB 148 (Kansas, 2025) amends the state sales tax code to exclude the service of installing or applying materials (like windows, flooring, or fixtures) from sales tax when those materials are used for rebuilding, restoring, remodeling, renovating, repairing, or replacing a building. This directly affects contractors and businesses performing construction, renovation, or repair work on buildings, as they will no longer charge the standard 6.5% sales tax on their labor for these specific services. The bill modifies K.S.A. 2024 Supp. 79-3603 to clarify that only the *labor service* of installation is exempt, not the sale of the materials themselves. The change applies to all building projects, including residential and commercial properties.