Idaho Administrative Code › Title IDAPA 35 - Tax Commission, State › Rule 35.01.02 - IDAHO SALES AND USE TAX ADMINISTRATIVE RULES › Section 35.01.02.088 - SALE OR PURCHASE OF MATTER USED TO PRODUCE HEAT BY BURNING

Current through August 31, 2023
Sections
				63-3612,
				63-3613,
				63-3622,
				63-3622G, Idaho Code
01.
Scope
. Matter used to
			 produce heat by burning includes natural gas, liquefied propane, coal, wood,
			 oil, petroleum, and their by-products. (3-31-22)
02.
Limitation
. The phrase used
			 to produce heat by burning means the act of incineration of materials defined
			 in Subsection 088.01 of
			 this rule in a furnace or similar device for the purpose of raising or
			 maintaining the temperature in an enclosed space, dwelling, or building
			 including a building under construction, and includes heating water and
			 cooking. Heating fuel delivered in bulk to a dwelling or building for this
			 purpose and properly identified as such by the vendor in his books and records,
			 on the delivery ticket, and invoice to the customer relieves the vendor of the
			 responsibility to obtain a sales tax exemption certificate, from the buyer.
			 (3-31-22)
03.
Liquefied
			 Propane
. Sales of liquefied propane in units of fifteen (15) gallons or
			 less, identified in the vendor's records as cylinder sales, will be considered
			 to be used to produce heat by burning as defined in Subsection
			 088.02 of this rule. These sales
			 will not require that a sales tax exemption certificate be obtained from the
			 buyer, and is exempt from the tax regardless of the use to which the buyer
			 places the liquefied propane. (3-31-22)
04.
Documentation of Other Exempt
			 Sales
. All other sales of natural gas, liquefied propane, coal, wood,
			 oil, petroleum, and its by-products are taxable, unless specifically exempted
			 or excluded elsewhere in the Sales Tax Act. Such exempted or excluded sales are
			 documented in the following manner: (3-31-22)
a. If purchased for resale, the vendor
			 obtains a properly executed resale certificate. See Rule
			 128 of these rules.
			 (3-31-22)
b. If purchased to
			 produce heat by burning as defined in Subsection
			 088.02 of this rule and not bulk
			 delivered to the customer by the vendor, the vendor either obtains a properly
			 executed exemption certificate from the buyer, or requires the buyer to
			 complete a stamped or imprinted statement on the face of the sales invoice
			 containing the following language:
I certify that the gas I have purchased will be used in a
				furnace or similar device for the purpose of water heating, cooking, or raising
				or maintaining the temperature in an enclosed space, dwelling, or
				building.
This tax exemption statement qualifies if this statement is
				signed by the buyer and the name and address of the buyer is shown on the
				invoice.
Any person who signs this certificate with the intention of
				evading payment of tax is guilty of a misdemeanor.
_____________________
BUYER'S SIGNATURE
The signature of the buyer on this statement be in addition to
				any other signature required on the invoice. (3-31-22)
c. If the buyer claims an exemption from the
			 tax for reasons other than heat by burning, a properly executed exemption
			 certificate will need to be obtained. See Rule
			 128 of these rules.
			 (3-31-22)