Indiana Code
Chapter 5. Exempt Transactions of Retail Merchant
6-2.5-5-45.8. Recycling and Recycling Materials

Sec. 45.8. (a) For purposes of this section, IC 6-2.5-4-5, and section 30 of this chapter, the following definitions apply:
(1) "Recycling" means the processing of recycling materials and other tangible personal property into a product for sale if the product is predominantly composed of recycling materials. The term does not include the following:
(A) The demolition of improvements to real estate.
(B) The processing of tangible personal property primarily for disposal in a licensed solid waste disposal facility rather than for sale.
(C) The collection of recycling materials.
(2) "Recycling materials" means tangible personal property, including metal, paper, glass, plastic, textile, or rubber, that:
(A) is considered "scrap" by industry standards or has no more than scrap value;
(B) is a byproduct of another person's manufacturing or production process;
(C) was previously manufactured or incorporated into a product;
(D) would otherwise reasonably be expected to be destined for disposal in a licensed solid waste disposal facility; or
(E) has been removed or diverted from the solid waste stream for sale, use, or reuse as raw materials, regardless of whether or not the materials require subsequent processing or separation from each other.
(3) "Processing of recycling materials" means:
(A) receiving recycling materials and other tangible personal property; and
(B) creating a product for sale by changing the original form, use, or composition of the property (whether manually, mechanically, chemically, or otherwise) through weighing, sorting, grading, separating, shredding, crushing, compacting, breaking, cutting, baling, shearing, torching, wire-stripping, or other means.
(4) "Occupationally engaged in the business of recycling" means to engage in recycling with the intention of doing so at a profit.
(5) "Recycling cart" means a manually propelled container with a capacity of not more than one hundred (100) gallons of recycling materials.
(b) Transactions involving recycling materials and other tangible personal property are exempt from the state gross retail tax if:
(1) the person acquiring that property acquires it for the person's direct use in the processing of recycling materials; and
(2) the person acquiring that property is occupationally engaged in the business of recycling.
(c) Notwithstanding subsection (a)(1)(C), transactions involving a recycling cart are exempt from the state gross retail tax if the person acquiring the recycling cart is occupationally engaged in the business of recycling.
As added by P.L.137-2012, SEC.50. Amended by P.L.242-2015, SEC.12.

Structure Indiana Code

Indiana Code

Title 6. Taxation

Article 2.5. State Gross Retail and Use Taxes

Chapter 5. Exempt Transactions of Retail Merchant

6-2.5-5-0.4. Intent of General Assembly Adding Section 36 of This Chapter

6-2.5-5-1. Animals, Feed, Seed, and Chemicals; Race Horse in a Claiming Race

6-2.5-5-2. Agricultural Machinery, Tools, and Equipment

6-2.5-5-3. Exemption; Acquisition for Direct Use in Direct Production

6-2.5-5-4. Property for Use in Producing Machinery, Tools, or Equipment

6-2.5-5-5. Repealed

6-2.5-5-5.1. Exemption; Acquisition for Direct Consumption in Direct Production; Industrial Processing Service; Direct Application of Fertilizers; Direct Harvesting of Agricultural Commodities

6-2.5-5-6. Exemption; Acquisition for Incorporation Into Product for Sale

6-2.5-5-7. Materials Used in Construction Business, Public Street, or Utility Service

6-2.5-5-8. "New Motor Vehicle"; Property Acquired for Resale, Rental, or Leasing in the Course of Business

6-2.5-5-8.2. Aircraft Acquired for Rental or Leasing in the Ordinary Course of the Person's Business; Determination of the Exemption; Rental Threshold

6-2.5-5-8.5. Power Subsidiary; Public Utility

6-2.5-5-9. Returnable Containers; Nonreturnable Packaging

6-2.5-5-10. Electric or Steam Utilities; Production Plant or Power Production Expenses

6-2.5-5-10.5. Tangible Personal Property Exemption; Public Utility or Power Subsidiary; "Utility Scale Battery Energy Storage System"

6-2.5-5-11. Gas Utilities; Production or Storage Plants and Expenses

6-2.5-5-12. Water Utilities; Plants and Expenses

6-2.5-5-12.5. Wastewater Utilities; Plants and Expenses

6-2.5-5-13. Intrastate Telecommunication Services; Video, Internet Access, or Voip Services; Equipment

6-2.5-5-14. Public Utilities; Acquisitions of Personal Property

6-2.5-5-15. Repealed

6-2.5-5-15.5. Motor Vehicles; Intrafamilial Title Transfers

6-2.5-5-16. State or Local Government Acquisitions

6-2.5-5-16.5. Repealed

6-2.5-5-17. Newspapers

6-2.5-5-18. Drugs, Medical Equipment, Supplies, and Devices; Acquisition by Patient

6-2.5-5-19. Drugs, Insulin, Oxygen, Blood, or Blood Plasma; Acquisition by Licensed Practitioner

6-2.5-5-19.5. Drugs; Insulin; Oxygen; Blood Glucose Monitoring Supply; Blood or Blood Plasma

6-2.5-5-20. "Food and Food Ingredients for Human Consumption"

6-2.5-5-21. Exemption; Sales of Food and Food Ingredients by Nonprofit Entities to Confined or Hospitalized Persons

6-2.5-5-21.5. Repealed

6-2.5-5-22. Exemption; Sales of Meals; Schools; Fraternities; Sororities; Student Cooperatives

6-2.5-5-23. School Building Materials

6-2.5-5-24. Exemption; Sales to the United States Government; Commercial Printing; Receipts or Collection or Taxes; Amounts Represented by an Encumbrance in Like Kind Exchange of Tangible Personal Property

6-2.5-5-25. Exemption; Nonprofit Organizations; Uses to Carry on Its Not-for-Profit Purpose; Ordinary and Usual Activities and Operations; Required Application Process

6-2.5-5-26. Nonprofit Entities; Less Than $20,000 in Sales; Sale for Educational, Cultural, or Religious Purpose; Sale for Professional or Workforce Education Improvement Purposes; Sale by a Public Library

6-2.5-5-27. Exemptions for Property and Services Used for Public Transportation; Temporary Taxation of Natural Gas Products Used for Public Transportation

6-2.5-5-27.5. Rolling Stock

6-2.5-5-28. Repealed

6-2.5-5-29. Manufactured Homes; Industrialized Residential Structures

6-2.5-5-30. Environmental Quality Compliance; Manufacturing, Mining, Agriculture, or Recycling

6-2.5-5-31. Free Distribution Newspaper; Related Transactions

6-2.5-5-33. Tangible Personal Property Purchased With Food Stamps

6-2.5-5-34. Sale of Lottery Tickets; Gross Retail Tax

6-2.5-5-35. Tangible Personal Property Transactions

6-2.5-5-36. Commercial Printing Contracts

6-2.5-5-37. Professional Motor Racing Vehicle Parts Exemption; Two-Seater Indy Car Exemption; Tires and Accessories Excluded

6-2.5-5-38. Repealed

6-2.5-5-38.1. Qualified Computer Equipment Sales

6-2.5-5-38.2. Vehicle Lease Transactions

6-2.5-5-39. Cargo Trailers and Recreational Vehicles Registered for Use Outside Indiana

6-2.5-5-40. Research and Development Property

6-2.5-5-41. Repealed

6-2.5-5-42. Aircraft Titled, Registered, or Based Outside Indiana

6-2.5-5-43. Type Ii Gambling Games

6-2.5-5-44. Sales to City or Town for Municipal Golf Course

6-2.5-5-45. Gross Retail and Use Tax Exemption; Cigarette and Tobacco Tax Meter Machines

6-2.5-5-45.8. Recycling and Recycling Materials

6-2.5-5-46. Aircraft Repair and Maintenance

6-2.5-5-47. Coins, Bullion, and Legal Tender

6-2.5-5-48. Drainage Water Management System

6-2.5-5-49. Aviation Fuel

6-2.5-5-50. Required Product Labels

6-2.5-5-51. Special Fuel

6-2.5-5-52. Hot Mix Asphalt Plant Equipment; Trucks; Pavers

6-2.5-5-53. Special Rule for Renting or Furnishing Rooms, Lodging, or Other Accommodations in a House, Condominium, or Apartment for Fewer Than 15 Days

6-2.5-5-54. Special Rule for Sharing of a Passenger Motor Vehicle for Fewer Than 15 Days

6-2.5-5-55. "Public Safety Equipment and Materials"; Exemption

6-2.5-5-56. Transportation Facility

6-2.5-5-57. Children's Diapers