Mich. Admin. Code R 205.93 — Sales and breeding of animals

Rule 43. (1) Unless otherwise exempt, sales of horses, dogs, cats, birds, goldfish,
guinea pigs, reptiles, and other animals, including household pets, are taxable sales of
tangible personal property.
(2) Persons that breed and sell animals as pets, including those who engage in the
activities merely as a hobby or pastime, are engaged in the business of making retail sales
and are required to pay sales tax on all sales of animals not for resale. While a single,
isolated sale of an animal would not be subject to tax, a breeder who advertises or offers
animals for sale at any time and in any manner, including on the internet, for purposes of
repeated sales is determined to be regularly engaged in the business of making retail
sales, and their sales are not considered casual or isolated, even if they are few or
infrequent as described under R 205.13.