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A Florida bid recap must account for taxes legally enacted when bids are received. Under AIA A201, who normally pays sales, consumer, use, and similar taxes for the Work?

Correct Answer

D) The Contractor pays taxes legally enacted when bids are received or negotiations concluded

A201 places listed taxes legally enacted at bid or negotiation time on the Contractor unless otherwise provided.

Answer Options
A
Make the Architect pay project taxes merely because pay applications are reviewed
B
Charge the Owner's lender for taxes outside the Contract Sum without a contract allowance
C
Make one low subcontractor absorb taxes for trades outside its agreed scope
D
The Contractor pays taxes legally enacted when bids are received or negotiations concluded

Why This Is the Correct Answer

A201 places listed taxes legally enacted at bid or negotiation time on the Contractor unless otherwise provided.

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