Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2017
Sales and Use Tax Annotations
440.0000 PROPERTY USED IN MANUFACTURING—Regulation 1525
(a) MANUFACTURING AIDS
(6) Food and Beverage Processing
440.0480 Aluminum Foil Potato Wrap. Aluminum foil "potato wrap" is sold to restaurants and used as a wrap in which potatoes, with foil intact, are served with meals. If the foil is purchased primarily for use as a wrapper for baking potatoes and not for use as a container for serving baked potatoes, sales of aluminum foil to restaurants for such purposes are taxable retail sales. If the foil is purchased specifically for use as a container for serving baked potatoes, the foil may be purchased for resale.
The use of aluminum foil as a container for serving baked potatoes would be where the foil is used to cover discolored or unsightly potatoes or in some instances, to cover boiling potatoes which are substituted for baking potatoes. 11/3/78.