Capital Improvements in North Carolina: Roofing & Gutters Explained
Artisan Quality Roofing helps homeowners understand how NC sales tax applies to roofing and gutter projects.
🏗️ What Counts as a Capital Improvement?
According to the NC Department of Revenue, a capital improvement includes:
- New construction, reconstruction, or remodeling
- Installation of fixtures permanently attached to real property
- Work requiring a building permit under the State Building Code
Contractors must collect and retain Form E‑589CI (Affidavit of Capital Improvement) to substantiate the exemption from sales tax on labor.
🏠 Roofing as a Capital Improvement
- New Roof Installation or Major Replacement: Treated as a capital improvement. Contractors pay tax on materials but not on labor.
- Roof Repairs or Maintenance: Fixing leaks or replacing shingles is taxable. Sales tax applies to both labor and materials.
🌧️ Gutters & Capital Improvement
Our sister company, Quality Seamless Gutters of Apex, specializes in gutter installation and service:
- New Gutter Installation: Part of new construction or remodeling, treated as a capital improvement. Tax applies to materials only.
- Gutter Repairs or Maintenance: Replacing sections or reattaching downspouts is taxable. Sales tax applies to the full invoice.
📋 Compliance Checklist
Capital Improvement Jobs
- Collect and retain Form E‑589CI
- Pay sales/use tax on materials
- Do not charge sales tax on labor
Repair/Maintenance Jobs
- Charge and remit sales tax on labor + materials
- Separate taxable and nontaxable items on invoices
📞 Ready to Protect Your Home?
Whether you need a new roof or seamless gutters, Artisan Quality Roofing and Quality Seamless Gutters of Apex work together to deliver complete exterior solutions — all handled with compliance and care.
Serving the NC Triangle area with trusted roofing and gutter expertise.
