Examples of Qualifying Items and Services
cameras and camera accessories; film stock; lights and lighting control systems; sound equipment; grip equipment; video assist systems; props; costumes; makeup; fog machines; wind machines; generators used to operate exempt equipment; dollies and cranes used to support exempt equipment; terminating boxes and extension cables used with exempt equipment; time code equipment; VTR editing equipment; switchers; character generators; computers used solely for game production; software (i.e. Photoshop, 3D Studio MAX, Maya, etc.); monitors; Wacom tablets.
editing; film processing; film-to-tape transfers; Foley services; multi-image services; sound mixing; voice-overs; ADR/looping; audio sweetening; motion capture. Repairs to qualifying machinery, equipment or supplies are also exempt. (Also see "Exceptions," below).
Still photography is not included in these exemptions, even when associated with production, unless the still photograph is incorporated into the film or game(i.e., set dressing or props, stop motion photography, or used in a game cinematic). Location stills, casting photos, continuity Polaroids and other still photographs are not exempt.
Server equipment can be sales tax exempt as long as it is solely used for game development. By claiming the exemption, you are stating that you will only use the equipment directly in production. Using the equipment for other uses, such as for general office use and word processing, may result in back taxes and penalties.