A manufacturer of shampoos, conditioners, and other cosmetics was denied a manufacturing exemption on its purchases of bar code verifiers. The manufacturer contended that they were used in used in an exempt quality control process to ensure that bar codes on packaged products could be read by store scanners. However, it was determined that the bar code verifiers were not used to ensure that the product met the specifications of the ultimate consumers, but to ensure that the packaged items met the inventory control needs of the stores. Therefore, the scanners were used in the taxpayer’s overall inventory control system and not for exempt quality control in manufacturing. (Decision, Hearing No. 49,528, Texas Comptroller of Public Accounts, October 9, 2009, released January 2010)