§ 57-39.2-04.19 — Sales tax exemption for raw materials, single-use product contact systems, and reagents used for biologic manufacturing - Report (Expired effective June 30, 2029)

North Dakota § 57-39.2-04.19

• Jurisdiction: North Dakota
• Title 57: Taxation
• Ch. 57-39.2: Sales Tax

Text

systems, and reagents used for biologic manufacturing - Report. (Expired effective
June 30, 2029)
1. Gross receipts from sales of raw materials, single-use product contact systems, and
reagents used directly for discovery, testing, screening, and production for biologic
manufacturing in this state are exempt from taxes under this chapter.
2. To receive the exemption at the time of purchase, the taxpayer must receive from the
tax commissioner a certificate that the raw materials, single-use product contact
systems, or reagents qualify for the exemption.
3. For purposes of this section:
a. "Biologic manufacturing" means the manufacturing process used to support
biologic product discovery, development, generation, product impurity removal,
chemical or physical product alteration, and analysis of in-process products to
final deliverable products which occurs exclusively within this state.
b. "Single-use product contact systems" means tubing, capsule filters, ion exchange
membrane chromatography devices, mixers, bioreactors, sterile fluid containment
bags, connection devices, and sampling receptacles.

4. a. By April first of each year, each taxpayer that received the exemption under this
section in the preceding calendar year shall file with the tax commissioner, on
forms and in the manner prescribed by the tax commissioner, a report showing
for the calendar year preceding the reporting deadline in this subdivision, the
taxpayer's:
(1) Total sales and use tax liability exempted under this section;
(2) Total gross payroll;
(3) Total property taxes paid and square footage of buildings owned by the
taxpayer;
(4) Total North Dakota workforce safety and insurance premiums paid;
(5) North Dakota unemployment taxes paid; and
(6) Total state income tax withheld by the taxpayer.
b. Failure to file the report required under subdivision a is cause to disallow the
exemption due to noncompliance. The tax commissioner shall provide notice of
the disallowed exemption to the taxpayer and assess any sales and use tax due.
An assessment of tax made under this subsection is final and irrevocably fixed.
c. By June first of each year, the tax commissioner shall submit to the legislative
management a written report summarizing the information received under
subdivision a, including a comparison of information received in the current
calendar year with data received in the preceding calendar year.