NDAC 81-04.1-01-12
Processing
Cite as N.D. Admin. Code ยง 81-04.1-01-12
The nonreturnable containers in which tangible personal property is sold, when sold for processing,
are exempt from sales tax if it is intended that such containers become an integral, ingredient, or
component part of tangible personal property intended to be sold ultimately at retail. Receipts from the
sale of tangible personal property to fabricators, manufacturers, producers, or processors which will not
actually become an integral, ingredient, or component part of the product produced are taxable.
The sale of an item of tangible personal property for the purpose of incorporating it in or attaching it
to real property is a sale of tangible personal property for a purpose other than for processing and is
taxable sold to a contractor or subcontractor for attachment to real property situated outside of North
Dakota if taxable in state of attachment.