701—219.11(423) Distinguishing machinery and equipment from real property. A construction contract may include many activities, but it does not include a contract for the sale and installation of machinery or equipment. Machinery and equipment includes property that is tangible personal property when it is purchased and remains tangible personal property after installation. Generally, tangible personal property can be moved without causing damage or injury to itself or to the structure, it does not bear the weight of the structure, and it does not in any other manner constitute an integral part of a structure. Manufactured machinery and equipment which does not become permanently annexed to the realty remains tangible personal property after installation.
	219.11(1) The following is a list of property which, under normal conditions, remains tangible personal property after installation. The list is nonexclusive and is offered for illustrative purposes only:
	a. 	Furniture, radio and television sets and antennas, washers and dryers, portable lamps, home freezers, portable appliances and window air-conditioning units.
	b. 	Portable items such as casework, tables, counters, cabinets, lockers, athletic and gymnasium equipment and other related easily movable property attached to the structure.
	c. 	Machinery, equipment, tools, appliances, and materials used exclusively as such by manufacturers, industrial processors and others performing a processing function with the items.
	d. 	Office, bank and savings and loan association furniture and equipment, including office machines.
	e. 	Radio, television and cable television station equipment, but not broadcasting towers.
	f. 	Certain equipment used by restaurants and in institutional kitchens; for instance, dishwashers, stainless steel wall cabinets, stainless steel natural gas stoves, stainless steel natural gas convection ovens, and combination ovens and steamers with stands. This paragraph is not applicable to similar items used in residential kitchens. See Petition of Taylor Industries Inc.	(Dkt No.	94-30-6-0367, 3-14-95).
	219.11(2) The following is a list of property which, under normal conditions, becomes a part of realty. The list is nonexclusive and is offered for illustrative purposes only:
	a. 	Boilers and furnaces.
	b. 	Built-in household items such as kitchen cabinets, dishwashers, sinks (including faucets), fans, garbage disposals and incinerators.
	c. 	Buildings, and structural and other improvements to buildings, including awnings, canopies, foundations for machinery, floors (including computer room floors), walls, general wiring and lighting facilities, roofs, stairways, stair lifts, sprinkler systems, storm doors and windows, door controls, air curtains, loading platforms, central air-conditioning units, building elevators, sanitation and plumbing systems, decks, and heating, cooling and ventilation systems.
	d. 	Fixed (year-round) wharves and docks.
	e. 	Improvements to land including patios, retaining walls, roads, walks, bridges, fencing, railway switch tracks, ponds, dams, ditches, wells, underground irrigation systems, drainage, storm and sanitary sewers, and water supply lines for drinking water, sanitary purposes and fire protection. Reference rule 701—285.35(422,423) relating to drainage tile.
	f. 	Mobile and modular homes installed on foundations.
	g. 	Planted nursery stock.
	h. 	Residential water heaters, water softeners, intercoms, garage door opening equipment, pneumatic tube systems and music and sound equipment (except portable equipment).
	i. 	Safe deposit boxes, drive-up and walk-up windows, night depository equipment, remote TV auto teller systems, vault doors, and camera security equipment (except portable equipment).
	j. 	Seating in auditoriums and theaters and theater stage lights (except portable seating and lighting).
	k. 	Silos and grain storage bins.
	l. 	Storage tanks constructed on the site.
	m. 	Swimming pools (wholly or partially underground (except portable pools)).
	n. 	Truck platform scale foundations.
	o. 	Walk-in cold storage units that become a component part of a building.
[ARC 2349C, IAB 1/6/16, effective 2/10/16; see Rescission note at end of chapter; Editorial change: IAC Supplement 10/18/23]