D.C. Mun. Regs. r. 9-405
If tangible personal property is purchased (in the District or outside the District) by any person for the purpose of storage, use, or consumption of that property within the District, the purchase is subject to the use tax, based upon its sales price.
If tangible personal property is purchased within the District and delivery of the property to the purchaser occurs in the District, the D.C. sales tax must be paid, even if the property is subsequently stored, used, or consumed outside the District.
The provisions of this section do not apply to sales which are exempt from the payment of District sales tax or compensating use tax under the provisions of the Act and this chapter.
The actual storage, use, or consumption of tangible personal property within the District shall be prima facie evidence that the property was purchased for that purpose.
If the purchaser claims that the purpose for which the property was purchased was not to store, use, or consume the property within the District, the purchaser shall establish that fact to the satisfaction of the Deputy Chief Financial Officer.
If any property has been stored, used, or consumed within the District, the following factors shall not be controlling upon the question of taxability:
If tangible personal property has been purchased outside the District and delivered to the purchaser outside the District, and a sales or use tax on the sale of the property has been properly paid to another jurisdiction, the property is exempt from the District use tax, except as provided in §§ 405.8 and 405.9.
If property purchased and delivered outside the District is brought into the District, and if the purchaser is entitled to claim a refund of the sales or use tax paid to the other jurisdiction upon removal of the property from the other jurisdiction, the District use tax shall be applicable to the purchase price of the property in accordance with the provisions of § 405.9.
If the District use tax is applicable to the property purchased and delivered outside of the District, it shall be paid to the District when the property is brought into the District for use, storage, or consumption, whether or not a refund is actually obtained from the other jurisdiction.
To determine whether property purchased outside the District for storage inside the District is subject to the District use tax, it shall be ascertained whether, at the time of purchase and storage, the property was acquired for use or consumption within or without the District.
If the purpose at the time of purchase and storage of the property in the District is to use or consume it inside the District, the purchase shall be taxable under the Use Tax Act. Under these circumstances the tax shall apply whether the article is actually used or consumed in the District or subsequently shipped out of the District.
If, at the time of purchase, the purpose in storing the article in the District is to use or consume the article outside the District, the purchase shall not be subject to the Use Tax; Provided, that the following facts must subsequently be established:
Since non-taxability cannot be established until the article is actually shipped out of the District for use or consumption outside the District, the Use Tax must be paid when the article first arrives in the District.
A purchaser may claim a credit or refund for the use tax paid on the portion of the personal property which the taxpayer satisfies the Office was purchased initially solely for use or consumption outside the District, if the purchaser can substantiate by adequate and acceptable records the following:
A claim for credit or refund shall be filed with the Office within a period of one (1) year (See D.C. Code §§ 47-2020 and 47-2213 ).
If tangible personal property is purchased outside the District and delivered to the purchaser in the District, the District Use Tax shall be paid on all such property used, stored, or consumed within the District. However, where such property is purchased for purposes of use or consumption outside the District, stored in the District, and is later removed for use or consumption outside the District, a refund or tax may be claimed within one year from the date the tax was paid thereon in accordance with § 140(a) of the District Sales and Use Tax Acts. Claim for refund or credit must be filed on form FR-331.
D.C. Mun. Regs. r. 9-405