The State of Arkansas has added a new regulation that clarifies the treatment of labor charges that stem from equipment used in manufacturing. According to the new regulation, the service of installing, altering, adding to or replacing machinery is exempt if the machinery being worked on qualifies for as exempt machinery used in manufacturing. The services are exempt regardless of who is performing them. The service of repairing (not adding to or altering) is still considered to be a taxable service. (Arkansas Department of Finance and Administration, Revenue Rule 9.18, Added December 2006)