DI Supply I, LLC and its Individual Members v. Director of Revenue

Summary

The Court affirmed the Administrative Hearing Commission’s determination that DI Supply’s sales of room furnishings to Drury Hotels did not qualify for the sales-tax resale exemption. It held that the sales-tax exemption requires a transfer of title or ownership, not merely a transfer of the right to use, and that the hotel guests did not receive title or ownership of the furnishings. The Court also held that the use-tax definition of sale may no longer be used to analyze sales-tax resale exemptions.