The Louisiana Department of Revenue has released a ruling that amends the definitions of “cost price” “lease or rental” and “sales price” as they relate to the manufacturing, machinery and equipment exemption from sales tax. These terms are clarified to exclude machinery and equipment used “predominantly and directly” in the process of manufacturing tangible personal property for sale or used directly in the production of processing and storing food, fiber or timber for sale. For purposes of “cost price” the exclusion is applicable only to manufacturing businesses that are registered with the Department or that have been assigned specific NAICS (North American Industrial Classification System) codes in certain sectors. This exclusion is being phased in over a seven-year period that began on July 1, 2004. For the current rate of exclusion, contact the Louisiana Department of Revenue. (LAC 61:I:4301, Louisiana Department of Revenue, Effective March 20, 2005)