What’s Exempt ?
The manufacturing exemption applies to machinery or equipment that causes a physical or
chemical change in a product in order to make it saleable.
The manufacturing process generally begins with the first activity that changes the raw
materials or ingredients and ends with the packaging of the tangible personal property as it will be sold.
Besides manufacturing equipment, services performed directly on a manufactured item
prior to its distribution for sale and component parts for qualifying equipment also qualify for
sales tax exemption.
What’s not exempt ?
Non-qualifying machinery, equipment, supplies and labor.
Statute of Limitation : Four years from payment date
