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Amusement rides and station houses, where people wait to board the rides, are considered to be business fixtures, therefore making any related purchases subject to use tax. The amusement rides and station houses are business fixtures because independent of the taxpayer's business, they do not increase the value of the land. Without existence of the amusement park, the rides and station houses would not be present. (Ohio Board of Tax Appeals, No. 2001-A-342, March 7, 2003)

(06/15/2003)

Computer equipment and related software that are held by a third party in Ohio for no more than 90 days and are taken to customers at a location outside of Ohio are exempt from Ohio use tax, effective July 1, 2003. (S.B. 47, Laws 2003, effective as noted above)

(06/15/2003)

An Ohio manufacturer of hardwood lumber was granted an exemption for saw sharpening equipment because it was considered to remanufacture useable blades from old dull blades. Because the machinery was necessary for the functioning of the machinery that completed the process of making timber into saleable lumber, it too was included in the manufacturing exemption. However, a silo used to store sawdust, stone and gravel purchased for the mill yard and concrete used for ramps and flooring were not exempt because they did not contribute directly to the production of the lumber and were not custom-designed but are considered common land and real property improvements. (Haessly Hardwood Lumber Co. v. Zaino, Tax Commissioner, Ohio Board of Tax Appeals, September, 20, 2002)

(11/15/2002)

A sales and use tax exemption was granted for an Ohio manufacturer for a boom crane, even though it handles raw material before it is committed to manufacturing. It was found that even though the initial breakdown of the raw material was preformed by a sub-contractor on the manufacturer’s site, it was in a continuous process. The costs associated with the use of the crane were exempt because it was still necessary for the manufacturing process and was considered moving work-in-process materials. (Ellwood Engineered Castings Co, v. Zaino, Tax Commissioner, Ohio Board of Tax Appeals, No. 00-P-391, March 22, 2002.)

(03/15/2002)

They qualify because the equipment was used to handle or temporarily store scrap that was intended to be reused in the manufacturing process. The exemption also applied to overhead cranes used to install tooling into the manufacturer's thermo-forming machines and to load injection molds into injection molding machines because the cranes facilitated, physically supported, and were otherwise necessary for the functioning of production machinery and equipment and the continuation of the manufacturing process. However, cranes used in the manufacturer's maintenance and tool rooms were not exempt because they were not essential to the manufacturing process. Also, purchases of heaters that were attached to the ceiling in the manufacturer's plant were subject to tax because the heaters were purchased as equipment and not as part of a construction contract. If tangible personal property is incorporated into real property under the terms of a construction contract, the contractor is the consumer of the personal property and is liable for tax on the purchase unless the property is otherwise exempt. (Landmark Plastic Corp., Ohio Board of Tax Appeals, No. 99-K-499, March 31, 2000)

(06/15/2000)

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