Taxable Items – Lumber Manufacturing

The production exemption guide lists items that are always taxable. Taxable items that are specific to lumber manufacturers include:

• Equipment and supplies used for filing blades, such as grinders and grinding wheels
• Equipment used for loading lumber products onto railway cars and trucks
• Generators used to produce electricity to power non-production equipment (co-generation equipment)
• Equipment and materials used for shipping
  Examples:
  • Strapping or binders used to secure lumber on railroad cars or trucks
  • Airbags and lumber used as dunnage
• Shop equipment and supplies used to make repairs
  Examples:
  • Hand tools
  • Power tools and compressors, including their accessories
  • Welders and cutting torches, including the gas you use to operate them
  • Solvents, cleaners, degreasers, shop rags
  • Paint, even if used for production equipment
• Office, maintenance, or janitorial equipment and supplies
• Marketing, promotional, sales, or transportation equipment and supplies
• Equipment and supplies to analyze or model financial results