Tax free!

jdmar · Jun 6, 2008

I am sure a lot of you know this already. I have been buying mostly tax free at TSC/etc for a while. But I recently bought the trusses for the barn I am building and I got those tax free since they are for agricultural/farm use. Today I went to Home Depot to order a lot of lumber/foam boards/etc for the barn. I was able to register for tax free status there also. It was a little more involved but still saved over $200 on that one purcase.

I am sure the rules are differrent everywhere, but I thought this was worth some of you looking into to see if it applies to you locally.

I wasn't sure of the best forum to post this, but thought that the projects forum implies buying materials and would reach the most people. Hope this helps someone.

Peter

smfcpacfp · Jun 6, 2008

Generally this only applies to the sales tax if you use the goods for agricultural purposes or you are going to use it in a product that you are making for resale.

Don't kid yourself in to thinking that the purchase was tax free. The gas you used to drive to make the purchase was taxed. The money you used to make the purchase was probably income and payroll taxed, and the price you paid included all of the appropriate taxes that everyone in the chain of production had to pay (payroll taxes, income taxes, excise taxes, etc, etc.)

Bird · Jun 6, 2008

I would assume that sales tax laws may differ in different states, but yes, I've bought stuff tax free at Tractor Supply Company and even at a Sears store. I thought Sears might not be familiar with that program, but they didn't even blink an eye; had the necessary forms and knew all about it.

GCLnIndiana · Jun 6, 2008

smfcpacfp said:
Generally this only applies to the sales tax if you use the goods for agricultural purposes or you are going to use it in a product that you are making for resale.

Don't kid yourself in to thinking that the purchase was tax free. The gas you used to drive to make the purchase was taxed. The money you used to make the purchase was probably income and payroll taxed, and the price you paid included all of the appropriate taxes that everyone in the chain of production had to pay (payroll taxes, income taxes, excise taxes, etc, etc.)

Geez, I was really happy for jdmar until I read this. No offense, but if I didn't know better I'd think this was Canada.

wedge40 · Jun 6, 2008

smfcpacfp said:
Generally this only applies to the sales tax if you use the goods for agricultural purposes or you are going to use it in a product that you are making for resale.

Don't kid yourself in to thinking that the purchase was tax free. The gas you used to drive to make the purchase was taxed. The money you used to make the purchase was probably income and payroll taxed, and the price you paid included all of the appropriate taxes that everyone in the chain of production had to pay (payroll taxes, income taxes, excise taxes, etc, etc.)

Ok it wasn't tax free, but he did save $200 on this purchase. That's enough to fill the truck a couple times.

Wedge