Producing, Fabricating, And Processing

Sections 63-3612, 63-3613, Idaho Code 01. In General. Tax applies to charges for materials and labor used in producing, fabricating, processing, printing, imprinting, or the engraving of tangible personal property. Producing, fabricating, and processing include any operation which results in the creation or production of tangible personal property. The operation can be a step or a series of steps in a process that will ultimately result in the creation or production of tangible personal property. (7-1-26) 02. Repairing and Reconditioning. Producing, fabricating, processing, or engraving doesn’t include labor performed to repair, recondition, refit, or refurbish tangible personal property for the use for which it was originally produced. Labor to fabricate tangible personal property that is then used in a repair is taxable. See Section 062. (7-1-26) 03. Examples. Available at Sales and Use Tax Examples. (7-1-26)