Effective January 1, 2006, North Carolina will not tax funeral services. Examples of exempt services include those provided by ambulance, morticians, undertakers, beauticians, and barbers. Tangible personal property related to funerals, such as coffins, caskets, vaults, and memorial stones, however, is fully taxable. Installation of the tangible personal property is exempt if it is separately stated on the buyer’s invoice and in the vendor’s files. (Important Notice, North Carolina Department of Revenue, November 7, 2005).