809. SECTIONAL HOMES NOT VEHICLE - CONTRACTORS TAXED ON MATERIALS USED IN CONSTRUCTION - SECTIONAL HOMES DEFINED.

When a sectional home is permanently affixed to real property, it is not a vehicle subject to registration under SDCL Chapter 32-3, and shall be classified as real property. A contractor who erects such a home must hold a sales tax or use tax license and pay use tax based upon the fair market value of the raw materials used to construct and erect the home. For the purpose of this section, “sectional home” means any home pre-built in part or in whole for the purpose of permanent placement on a foundation. A mobile home is defined by subdivision (1) of SDCL 34-34A-1 is not a sectional home.