Pet cremation services and sales of products

Pet cremation services are taxable under the service and other activities business and occupation (B&O) tax classification. No retail sales tax is due, regardless of whether the pet owner receives the ashes after cremation.

If a single price is charged for the cremation services and an urn, plaque, or other tangible personal property, the entire charge is subject to service and other activities B&O tax. The service provider would owe use tax on the purchase of the urn, plaque, or other tangible personal property if sales tax was not paid at the time of purchase.

However, sales tax applies on separate charges to pet owners for items such as urns or plaques. As the service provider, retailing B&O  applies on these charges.