Opinion ID: 2819675
Heading Depth: 2
Heading Rank: 1

Heading: use tax and exemption

Text: The UTA “imposes a 6% tax on a consumer’s use, storage, and consumption of all tangible personal property in Michigan.” Andrie Inc v Treasury Dep’t, 496 Mich 161, 164; 853 NW2d 310 (2014). At the time relevant to this case, MCL 205.93(1) of the UTA provided in pertinent part: There is levied upon and there shall be collected from every person in this state a specific tax for the privilege of using, storing, or consuming tangible personal property in this state at a rate equal to 6% of the price of the property or services . . . . [As amended by 2002 PA 511.] The UTA industrial-processing statute, MCL 205.94o, provided in pertinent part: (1) The tax levied under this act does not apply to property sold to the following after March 30, 1999, subject to subsection (2): (a) An industrial processor for use or consumption in industrial processing. (b) A person, whether or not the person is an industrial processor, if the tangible personal property is intended for ultimate use in and is used in industrial processing by an industrial processor. (c) A person, whether or not the person is an industrial processor, if the tangible personal property is used by that person to perform an industrial processing activity for or on behalf of an industrial processor.