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Business Taxes Law Guide—Revision 2024

Sales and Use Tax Annotations


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435.0000 Producing, Fabricating and Processing Property Furnished by Consumers—General Rules—Regulation 1526

Annotation 435.0655

(c) Miscellaneous Operations


435.0655 Cutting or Punching Printed Paper. Cutting and punching the paper is a step that results in the creation of tangible personal property. Hence, tax applies to those charges if the cutting and punching are for a consumer. On the other hand, tax does not apply if the sale of the fabrication is for resale or exempt such as fabrication of a periodical the sale of which is exempt under Regulation 1590. 9/7/95.