Exempt Purchases

Consumable materials are items used while providing a service and are not reused afterward. Materials used or consumed in providing taxable building cleaning and maintenance, disinfecting, and exterminating services are not taxable. You must use the materials directly in providing the taxable service to qualify for the exemption.

• Chemicals to clean swimming pools
• Chemicals to treat waste generated as a result of providing the taxable service
• Cleaners, disinfectants, degreasers
• Deodorizers
• Disposable rags, paper towels
• Exterminating chemicals
• Furnace filters
• Garbage bags
• Mothballs
• Lubricants and antifreeze for vehicles used while directly providing taxable services (i.e. furnace cleaning machines)
• Pesticides
• Soaps, detergents, waxes, shampoos
• Traps (one-time use)
• Window cleaner

Note: If you purchase materials exempt from tax but use the materials to provide a nontaxable service for general business, or personal use, you owe use tax on your cost of the materials.

Separate detachable units used to provide taxable services are exempt. To qualify for the exemption, the item must meet all three requirements:

1. It must be used in providing a direct effect for a taxable service.
2. It must be an accessory or other item that attaches to a machine while in use.
3. Its ordinary useful life must be less than 12 months when used continuously in normal use by the taxable service provider.

Separate detachable units do not include the basic machine or any components included in the original purchase price. Hand tools are not separate detachable units and are taxable. Repair parts are also taxable.

Examples of separate detachable units:

• Abrasive and polishing belts
• Disposable vacuum bags, brushes, and filters (if purchased separately from the vacuum cleaner)
• Mop heads (if purchased separately from the handle)
• Polishing strips and buffers