Michigan Department of Treasury Replaces SUT RAB 2000-4 – Industrial Processing

July 29, 2024

Share this Article:

Written By: Baden Tax

A person is using a calculator and a laptop computer at a desk.

On May 14, 2024, the Michigan Department of Treasury issued Revenue Administrative Bulletin (RAB) 2024-7 – Sales and Use Tax – Industrial Processing, to replace RAB 2000-4. RAB 2024-7 is retroactive to all periods that are open under the statute of limitations. RAB 2024-7 incorporates legislative changes and legal principles from binding precedent decided after the issuance of RAB 2000-4. This new RAB provides an updated definition of industrial processing to include:

 

  • Affixing tangible personal property to a structural part of real estate in another state or for the exempt purposes described in MCL 205.54t or MCL 205.94
  • Processing of aggregate materials.

 

The bulletin also provides updated examples of persons that can claim the exemption, activities & property eligible for the exemption, and examples of activities & property that are not eligible for the exemption.

 

This bulletin does not replace other RABs that address the industrial processing exemption as applied to a particular industry or item of tangible personal property.

 

For more information about this topic, please contact Gary Schleinkofer at 260-969-2576 or gschleinkofer@badentax.com

Connect with us:

July 24, 2025
What does this mean for your business?
July 23, 2025
Many companies stay with underperforming tax providers—not because they’re satisfied, but because switching feels risky. Concerns about missed deadlines, lost data, and internal workload often keep companies from making a change—even when they’re unhappy. At Baden, we understand the fear of disruption. That’s why we’ve built an onboarding process that not only protects continuity, but also creates immediate value. Here’s what our clients actually experience when they make the switch:
A man is sitting at a desk using a laptop computer.
By Baden Tax Management July 9, 2025
In enterprise tax planning, timing is as important as accuracy. A Q3 review allows tax leaders to assess their current filings without the urgency of March-to-June filing deadlines. This breathing room provides the capacity for deeper analysis to investigate data anomalies, confirm asset classifications, and identify m
Show More