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Business & LegalMay 2026

Madison County Sales Tax (8.00%) & Capital Improvement Rules

Madison County, NY contractors: using the 8.00% sales tax rate, handling ST-124 capital improvements, and keeping 2026 bids compliant.

Madison County Combined Rate — 8.00% - **Rate split:** State 4.0% + Local 4.0% = **8.00%** combined. - **Repairs/Maintenance:** Charge the full 8.00% on taxable services; show the rate on your estimate. - **Materials:** Generally taxed at purchase—price accordingly.

Capital Improvements (ST-124) - For qualifying capital improvements, collect **Form ST-124**; labor is not taxed when the form is retained. - Attach ST-124 note in your estimate/PDF to document the exemption.

Estimating Workflow - In **Tax Save**, pick **Madison County** to auto-fill 8.00%. - Use the **Capital Improvement** toggle to zero labor tax and capture the ST-124 reminder in the material list. - Protect margin: keep overhead recovery and profit targets separate from tax math.

Local Considerations - Check utility coordination early for all-electric 2026 code shifts. - Split bids if combining taxable repair tasks with exempt capital improvements to stay clean on invoicing.

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