Laws, Regulations & Annotations

Business Taxes Law Guide – Revision 2013
 

Sales and Use Tax Annotations


A    B    C    D    E    F    G    H    I    J    L    M    N    O    P    R    S    T    U    V    W    X   

M

347.0000 MANUFACTURING EQUIPMENT—Regulation 1525.2

Annotation 347.0810

347.0810 Qualified Person—Subsidiary. A firm which has been engaged in food product manufacturing in California for a number of years, creates a new subsidiary to engage in the manufacture of animal feed from other food by-products.

The parent's operations come within the Standard Industrial Classification Code (SIC) manual industry code 2096. The subsidiary's operations come within the SIC 2898. Both of these codes are within division "D" of SIC manual. Section 6377 provides that a "qualified person" must be in a different division of the SIC code. The plain language of statute and the structure of the manual precludes interpreting the term "division" to mean industry code. Thus, the subsidiary is not a "qualified person." 2/26/96.