Wrapping and Packaging Goods Not Tax Exempt for Retailers in Texas

Retailers are not tax exempt when purchasing point of sale wrapping and packaging goods from manufacturers. Since the manufacturing process is complete when items are packaged or wrapped up for the purpose of selling those items, the retailer cannot be exempt when bundling several items for transportation purposes by the customer. (Letter No. 200710043L, Texas Comptroller of Public Accounts, October 15, 2007, received February 2008)

Posted on August 8, 2008