45 IAC 2.2-4-21 Tangible personal property sold for incorporation into real property

Authority: IC 6-8.1-3-3

Affected: IC 6-2.5

Sec. 21. (a) In general, all sales of tangible personal property are taxable, and all sales of real property are not taxable. The conversion of tangible personal property into realty does not relieve a liability for any owing and unpaid state gross retail tax or use tax with respect to such tangible personal property.

(b) All construction material purchased by a contractor is taxable either at the time of purchase, or if purchased exempt (or otherwise acquired exempt) upon disposition unless the ultimate recipient could have purchased it exempt (see 6-2.5-5 $45 IAC 2.2-5$).

(Department of State Revenue; Ch. 4, Reg. 6-2.5-4-9(a)(010); filed Dec 1, 1982, 10:35 am: 6 IR 21)