SiteTax logic

SiteTax provides a simple classification layer to determine whether a job in New Jersey should be treated as taxable repair work or a non-taxable capital improvement. This document captures the current assumptions and rule structure.

Important disclaimers

• This tool is for internal guidance only.
• Real jobs may include mixed conditions; classification may require judgment.
• The tool should surface its assumptions clearly. No silent classification.

Inputs

• jobType – e.g. "repair", "replacement", "remodel".
• improvementType – e.g. "new_structure", "add_square_footage", etc.
• hasCapitalCertificate – whether a valid certificate is on file.
• materialsOnly – true when no labor is provided.
• notes – optional free text for context or exceptions.

Outputs

• classification – "taxable" or "non_taxable_capital".
• reason – a single-sentence explanation.
• suggestedTaxRate – 6.625 or 0.

Basic decision rules

Condensed logic:

if jobType == "repair":
    classification = "taxable"
    reason = "Marked as repair. Repairs are taxable."

elif improvementType in ["new_structure", "add_square_footage", "finish_basement"]:
    if hasCapitalCertificate:
        classification = "non_taxable_capital"
        reason = "Qualifies as capital improvement with certificate."
    else:
        classification = "taxable"
        reason = "Likely capital improvement but no certificate provided."

else:
    classification = "taxable"
    reason = "Not clearly capital improvement; defaulting to taxable."

Relationship to other tools

• SiteTax determines classification, not invoice totals.
• Other tools should treat this output as a flag for applying tax, not as a pricing engine.

UI expectations

• Always show the reason string. Avoid hidden logic.
• Allow manual override but visually mark it as override.
• Provide a simple way to confirm that a certificate was collected.

Known gaps / future considerations

• Mixed-scope jobs (part repair, part improvement).
• Edge cases like material-only deliveries.
• Job templates for common scenarios: roofs, windows, HVAC, paint, kitchens.

Update this doc whenever rules or assumptions change.