Nontaxable Purchases

field_block:node:guide:body

Items used or consumed in producing photography that will ultimately be sold at retail in tangible form can be purchased exempt. Give your supplier a completed Form ST3, Certificate of Exemption and specify the Resale exemption. See Industrial Production.

Note: These exemptions do not apply when images are delivered electronically and there is no transfer of a tangible product.

Examples include:

Film, chemicals, paper, and ink cartridges to print photos
Props used once (perishable)
Fuel used in production
Flash bulbs
Other consumables used in the production process

Capital Equipment

Purchases of capital equipment are not taxable when the equipment is used at least half of its operating time in Minnesota and to create a tangible product for retail sale. See Capital Equipment.

Examples of equipment that may qualify for this exemption include:

Accessories and attachments for production equipment
Backdrops
Batteries
Bulbs
Cameras
Drones
Lighting equipment
Printing equipment
Production equipment
Production computers and software
Props
Tripods

Equipment is taxable if it’s used more than half of its operating time to produce either:

Photography that is electronically delivered to a customer
Nontaxable advertising services

Guide Menu

Nontaxable Purchases

Capital Equipment