Tax Rules: Final: 5703-9
5703-9-04 Use tax; taxable use of tangible personal
property manufactured for sale or purchased for
resale
(A) A vendor, wholesaler, lessor, manufacturer, or other
person who removes tangible personal property from inventory
which had been purchased by the person without payment of
sales or use tax on the basis that the personal property was
intended to be resold pursuant to division (E)(1) of section
5739.01 of the Revised Code, and temporarily or permanently
stores, uses, or otherwise consumes such personal property in
a taxable manner inconsistent with such claim of exception,
shall accrue and pay use tax on the price of the personal
property, as defined in division (G) of section 5741.01 of
the Revised Code.
(B) A manufacturer who produces tangible personal property
which he has manufactured from raw materials or component
parts purchased without payment of sales or use tax on the
basis that the raw materials or parts were intended to be
incorporated into a product for sale pursuant to division
(E)(2) of section 5739.01 of the Revised Code, and who
temporarily or permanently stores, uses, or otherwise
consumes such personal property in a taxable manner
inconsistent with such claim of exception, shall accrue and
pay use tax on the price of such personal property, as
defined in division (G) of section 5741.01 of the Revised
Code and in accordance with paragraph (A) of rule 5703-9-21
of the Administrative Code.
Effective: 7-13-92
Promulgated under: 5703.14
Authorized by: 5703.05
Amplifies: 5739.01, 5741.01, 5741.02, 5741.12
Prior effective dates: 1-1-62