Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2014
Sales and Use Tax Annotations
440.0000 PROPERTY USED IN MANUFACTURING—Regulation 1525
(a) MANUFACTURING AIDS
(6) Food and Beverage Processing
440.0523 CO2 Gas. CO2 gas is purchased for use in lowering the pH level of olives during the manufacturing process. The CO2 gas neutralizes a solution of sodium hydroxide leaving salt in the olives as a result. No CO2 remains in the olives after the processing. Since the CO2 is not purchased for the purpose of becoming an ingredient or component part of the finished olives, the CO2 falls into the category of a manufacturing aid and purchases of the gas for this purpose are subject to tax. 11/29/00. (2001–2).