Laws, Regulations & Annotations

Business Taxes Law Guide – Revision 2018

Sales and Use Tax Annotations

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430.0000 PRINTING AND RELATED ARTS—Regulation 1541

Annotation 430.0061


430.0061 Composed Type—Line Borders. A medical publishing company has manuscripts written by physicians which are then put into the publisher's format by a designer. The film house prepares the manuscript and illustration for printing and the film is given to a printer for completion of the process of booklet production. The designer's work consists of only typography with straight line borders around areas designated for illustrations.

For purposes of Regulation 1541, composed type together with line borders of plain or straight lines is considered to be "composed type only." Therefore, tax does not apply to the designer's charge for a product in the form of a layout consisting of only composed type and boxes of plain lines with notations within the boxes to designate position and sizes of illustrations. The fact that the designer may use a copy of an illustration for placement purposes and not to incorporate an image of it in the layout would not affect the application of the tax. It would still be exempt from tax. 8/11/94.