Effective July 1, 2017, graphic arts machinery and equipment are included in the Illinois manufacturing and assembling machinery and equipment exemption. Graphic arts equipment was previously included in a different exemption.
Arkansas to Phase-In Full Exemption for Certain Manufacturing Purchases
Arkansas amended its use tax refund for partial replacement and repair of certain machinery and equipment. Beginning July 1, 2022, purchases qualifying for the tax refund will be 100% exempt.
Utah Enacts Exemptions for Auto Manufacturers and Industrial Gas Manufacturers
Effective July 1, 2017, Utah enacted a sales and use tax exemption on purchases or leases of certain machinery, equipment, and repair or replacement parts by qualifying automobile manufacturing facilities in the state.
Dismantling and Demolition Service Do Not Qualify for Georgia Manufacturing Exemption
A dismantling and demolition services provider did not qualify for Georgia’s sale and use tax exemption for manufacturers as it was not classified nor generally regarded as a manufacturer
Ventilation System Does Not Qualify for Manufacturing Exemption in Wyoming
A ventilation system purchased by a beet processing plant was denied a manufacturing equipment exemption from Wyoming sales and use tax because it did not qualify as machinery that operated directly and predominantly in manufacturing.
Iowa Adopts Amendments to Regulations for Manufacturing Exemption
Effective November 16, 2016, the Iowa Department of Revenue adopted amendments to its regulations concerning the state’s manufacturing exemption, which was expanded to include replacement parts and supplies earlier in the year.
Virginia Expands Research and Development Exemption
Effective July 1, 2016, Virginia’s sales and use tax exemption for tangible personal property purchased or leased for use directly in research or development in the experimental or laboratory sense was expanded.
Michigan Announces Non-Acquiescence to Industrial Processing Decision
The Michigan Department of Treasury will not follow the decision of Central Michigan Cementing Services LLC v. Depart of Treasury, an industrial processing case, in similar circumstances for other taxpayers.
Manufacturer’s Purchases of Shipping Labels and Printer Ribbons Are Taxable in Indiana
Purchases of shipping labels and printer ribbons by a manufacturer of medical devices did not qualify for an exemption from Indiana use tax since the products did not constitute an integral and material part of the finished product.
Arizona Amends Electricity and Gas Exemption for Manufacturing and Smelting Businesses
Arizona modified the exemption criteria for the qualified manufacturing or smelting business exemption as it applies to the state’s transaction privilege and use tax deduction of electricity and natural gas sales.
Iowa Makes Changes to Manufacturing Exemption
Iowa modified sales tax exemptions for items used in manufacturing, effective 03/21/16. More…
Hand Tools Priced $100 or Less Used for Certain Activities Exempt in Idaho
Idaho sales tax exemption can apply to hand tools used for certain activities, effective 07/01/16. More…
Software and Equipment Do Not Qualify for Missouri Manufacturing Exemption
Missouri held that a computer company’s software and equipment did not qualify for a manufacturing exemption. More…
Electricity Used for Freezing Finished Food Products Doesn’t Qualify for Arkansas Reduced Sales Tax Rate
Electricity used in cold storage facility for freezing finished food products does not qualify for Arkansas reduced sales tax rate. More…
Florida Makes Manufacturing Machinery & Equipment Exemption Permanent
Florida sales and use tax exemption for certain industrial machinery and equipment made permanent, effective 07/01/16. More…
Contractors Should Consider California Manufacturing and R&D Partial Exemption
California advises construction contractors to consider manufacturing and R&D partial exemption. More…
Washington Expands Manufacturing Exemption to Include Certain Software Developers
Washington expanded its manufacturing exemption to include certain software developers, effective 08/01/15. More…
Minnesota Changes to Upfront Exemption on Eligible Capital Equipment Purchases
Minnesota changed to an upfront sales tax exemption on eligible capital equipment purchases, effective 07/01/15. More…
Colorado Enacts Sales & Use Tax Refund for Research & Development
Colorado enacted a sales and use tax refund for research and development purchases. More…
Equipment Used to Test New and Existing Coating Formulations Qualifies for R&D Exemption in Missouri
Equipment used to test new formulations of architectural and industrial coating products is not subject to Missouri state sales and use tax. More…
Pipeline and Fittings for Gas Gathering System Exempt in Colorado
A Colorado company’s pipeline and fittings purchases qualified as exempt manufacturing machinery for the enterprise zone sales tax exemption. More…
Waste Disposal Items Don’t Qualify for Virginia Manufacturing Exemption
A taxpayer’s waste disposal purchases did not qualify for the Virginia manufacturing and processing sales tax exemption. More…
Tennessee Expands Industrial Machinery Exemption to Include Water and Wastewater Treatment
Tennessee expanded its sales and use tax exemption for industrial machinery, effective 07/01/15. More…
Conveyor Equipment Is Taxable for Indiana Manufacturer
Conveyors and conveyor equipment used by a cardboard box manufacturer did not qualify for Indiana’s manufacturing exemption because the items were used in post-production.