Q. When reviewing my water bill I noted that there was no sales tax included. If there is no need for a sales tax on water usage, why is one needed for telephone, electricity, and natural gas usage?
A. That’s the law; specifically, Michigan’s General Sales Tax Act (PA 167 of 1933). It exempts the sale of water through water mains, the sale of water delivered in bulk tanks in quantities of not less than 500 gallons, and the sale of bottled water.
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