32 V.S.A. § 9744 — Property exempt from use tax

(a) The following uses of property are not subject to the compensating use tax imposed
under this chapter:
(1) property used by the purchaser in this State prior to June 1, 1969;
(2) property purchased and used outside the State by the user while a nonresident of this
State, except in the case of tangible personal property that the user, in the performance
of a contract, incorporates into real property located in the State;
(3) property or services to the extent that a retail sales or use tax was legally due
and paid thereon, without any right to a refund or credit thereof, to any other state
or jurisdiction within any other state but only when it is shown that the other state
or jurisdiction allows a corresponding exemption with respect to the sale or use of
tangible personal property or services upon which such a sales tax or compensating
use tax was paid to this State; to the extent that the tax imposed by this chapter
is at a higher rate than the rate of tax in the first taxing jurisdiction, this exemption
shall be inapplicable and the tax imposed by section 9773 of this title shall apply to the extent of the difference in the rates;
(4) property withdrawn from inventory for the purpose of donating such property to an
entity described in subdivision 9743(1), (2), or (3) of this title; and
(5) building materials and supplies stored in this State for 180 days or less, if purchased
by a contractor for the construction, reconstruction, alteration, remodeling, or repair
of real property in a state which has no sales or use tax;
(b) A person while engaged in any manner in carrying on in this State any employment,
trade, business, or profession, not entirely in interstate or foreign commerce, shall
not be deemed a nonresident with respect to the use in this State of property in that
employment, trade, business, or profession. (