IDAPA 35.01.02.016 — RETAIL SALE OF ASPHALT, CONCRETE, AND CONCRETE PRODUCTS (RULE 016)

Sections 63-3609(a), 63-3610, 63-3622D, 63-3622W, Idaho Code
01.
In General. Asphalt, concrete and concrete products are building materials. The sale of such
products to construct, alter, repair, or improve real estate is taxable. Separately stated charges for delivery by the
vendor and vendor standby time are not taxable.
(3-31-22)
02.
Agricultural Irrigation. Materials purchased for agricultural irrigation are exempt from sales tax
whether purchased by the farmer, contractor, or subcontractor. This exemption applies even if the material is
permanently affixed to real estate, such as concrete used to line ditches or ponds. See Rule 096 of these rules. The
buyer must provide the seller with an exemption certificate. See Rule 128 of these rules.
(3-31-22)
03.
Production Exemption. The retailer who produces and sells asphalt or concrete may qualify to
claim the production exemption on equipment and supplies used directly to produce the concrete or asphalt for resale.
See Rule 079 of these rules. However, trucks used by a ready-mix operator do not qualify for the production
exemption because they are used for transportation. Although they may incidentally contribute to the manufacture of
the final article, purchases of the truck, trailer, and the truck-mounted concrete mixer, which becomes a part of the
motor vehicle, are not exempt from the tax.
(3-31-22)