SALT Report 1792 – The Georgia Department of Revenue released a list of sales and use tax regulations regarding manufacturing and shipping that they propose to amend or revoke.
Regulation §560-12-2-.25 Containers
The amendment would expand the list of packaging items that are excluded from sales and use tax.
Pallets have been added to the list of returnable containers that will be taxable.
Regulation §560-12-2-.32 Electricity, Steam, Gas, and Fuels
The amendment adds electricity, mandatory service charges, and deposits to the list of taxable items, unless a specific exemption applies.
Water, when delivered to consumers through water mains, lines or pipes, will be exempt from tax.
Regulation §560-12-2-.62 Manufacturing Machinery and Equipment
The amendment adds industrial materials and packaging supplies to the title
Adds an exemption for industrial materials
Adds energy to the list of consumable supplies
Adds an exemption for packaging supplies used in manufacturing
Provides an exemption for lease payments for machinery and equipment
Regulation §560-12-2-.64 Manufacturers
The title will be changed to Energy Necessary and Integral to Manufacturing
Expands the list of exemptions
Regulation §560-12-2-.21 Chemicals
If repealed, the sale of chemicals would no longer be taxable.
Regulation §560-12-2-.35 Equipment, Tools and Supplies
If repealed, the sale of equipment, tools, and supplies would no longer be taxable.
Regulation §560-12-2-.48 Gases
If repealed, the sale of certain gasses would no longer be taxable.
Regulation §560-12-2-.56 Labels, Tags and Name Plates
If repealed, labels, tags, and name plates would be taxable.
Interested parties are asked to submit comments regarding the proposed amendments and revocations to the Department by November 14, 2012.
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