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Business Taxes Law Guide—Revision 2024

Sales and Use Tax Annotations


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420.0000 Photographers, Photostat Producers, Photo Finishers and X-Ray Laboratories—Regulation 1528

Annotation 420.0090

(a) In General


420.0090 Photographers—Rental of Transparencies. The rental of photographic transparencies that have been developed from exposed raw film is taxable as a sale. The rental is taxable because the property is not rented in the same form as acquired by the lessor who purchased and exposed the raw film. The item being leased is the raw film which was exposed by the photographer and, accordingly, changed substantially in form. This application of tax is correct even though the lessor may have paid sales tax reimbursement to the lab that developed the slide.

On the other hand, if the item leased is a print of the exposed film which was purchased tax paid from the processing laboratory, the print would be leased in substantially the same form as acquired. 1/10/91.