Nickerson Pump & MacHinery Co. v. State Tax Commission

WADE, Chief Justice.

Certiorari to review the validity of the imposition by the Utah State Tax Commission, defendant . herein, against the Nickerson Pump & Machinery Co., Inc., plaintiff herein, of a deficiency tax assessment on emplaced water pumps furnished by plaintiff to governmental units which are exempted from payment of sales taxes.

The deficiency assessment was based on water pumps assembled from parts to the specifications of the governmental agencies and emplaced by plaintiff under lump sum contracts. In lump sum contracts the cost of labor for emplacement of the pumps is included…