Some of the items you purchase for your business are exempt from sales tax.
Taxable purchases
Examples of items you must pay tax on when you buy them include:
- Fixtures, such as movable coolers, checkout stands, racks and shelving
- Office equipment, furniture, automobiles
- Price labels, stickers, ink, shelf labels (but not product labels that include commodity information)
- Items that aren’t for resale (e.g., office or warehouse supplies)
- Advertising inserts (see Persons Engaged In Printing, Sales Tax Rule 054)
- Goods you take from your resale inventory to use yourself or give away, unless an exemption applies
Note:
The law provides a special exemption if you’re a grocer who takes goods from your shelves to donate to a food bank.
If you withdraw food or beverages from your resale inventory to donate to individuals or to certain nonprofit organizations, you might not owe use tax. See Idaho Code section 63-3621, see (o) and (p).
However, if you donate any goods to any other organization, you must pay use tax.
Nontaxable purchases
Items you buy for resale, such as grocery items, are exempt from sales tax.
Other examples of resale items include:
- Items you rent at your store (e.g., DVDs , carpet shampooers)
- Merchandise containers sold with the product (e.g., grocery bags, soft drink cups, deli containers)
You must provide your supplier with a completed 
Form ST-101 – Sales Tax Resale or Exemption Certificate.
Note:
An in-store bakery or meat department might qualify for the Production Exemption if operated separately and accounted for separately in your records.