TAX NEWS - DECEMber 2009

Georgia Sales / Use tax: Department issues final amended manufacturing exemption rule

Amended Rule Sec. 560-12-2-.62, Ga. Dept. of Rev. (11/24/09). The department has issued additional amendments to its recently adopted revised rule that provides guidance on the State's manufacturing machinery and equipment exemption.

The rule defines what constitutes the "manufacture of tangible personal property" and a "packaging operation." The exemption applies to machinery and equipment that are necessary and integral to a manufacturing process. The rule continues to state that it is effective for transactions occurring on or after January 1, 2009.