Roxane Laboratories, Inc. v. Tracy

The issue before this court is whether equipment used to perform FDA testing on samples of a pharmaceutical batch taken after the packaging and *656sale of the remainder of the batch is exempt from sales and use taxes as an adjunct to manufacturing pursuant to R.C. 5739.01(E)(2). We find that equipment used in stability testing does not qualify as an adjunct to manufacturing under R.C. 5739.01(R), as it is used after manufacturing ends.

Roxane challenges the failure to exempt the stability testing machinery from sales and use taxes as an adjunct to manufacturing. Because the use tax adopted the…