Re: Tax exemption on excavator

Posted by Mike (WA) on March 09, 2006 at 08:24:49 from (209.213.153.155):

In Reply to: Tax exemption on excavator posted by RLH on March 09, 2006 at 02:39:58:

In most states, for goods to be sales tax exempt, they have to be incorporated into the product to be sold- so cattle feed is exempt, but the equipment used to raise the cattle is not. Leather for purses is exempt, but the sewing machine you stitch them up with is not. You're not incorporating your excavator into what you sell (ditches and empty lagoons), so you're more like the sewing machine than the leather in the purse example.

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