LA Supreme Court recently rejected the appeal of an LA manufacturer whose sales tax refund on the purchase of a catalyst was denied due to failing to meet the high court’s own 3 part test regarding what qualifies as “materials for further processing”.  The Court’s denial came after the BTA and an appeals court ruled that the manufacturer did not purchase the catalyst for the purpose of its inclusion within the final product, but instead for the chemical reaction it initiated during the manufacturing process.

Pinnacle Polymers v. St. John the Baptist Parish Sales and Use Tax Office