Legislature Finally Passes Manufacturing Inputs and Chapter 100 Sales Tax Exemptions!

May 16, 2007 - The Missouri legislature today gave final passage today to SB 30, a bill that contains our Chapter 100 sales tax exemption and a state sales tax exemption for manufacturing inputs. The bill will now go to Governor Blunt for signature.

The Chapter 100 sales tax exemption will exempt from state and local sales taxes all sales and leases made by cities under Chapter 100 arrangements, provided DED approves such exemption on a case-by-case basis.

The manufacturing inputs sales tax exemption helps us be competitive with other states when competing for manufacturing operations. This exemption is limited to the state sales tax only, so local sales taxes will continue to apply. But the exemption covers nearly all manufacturing inputs, including machinery, equipment, electricity, gas and other energy sources and chemicals used or consumed in manufacturing, mining, processing, compounding or producing of any product.

We wish to thank Rep. Shannon Cooper who championed these issues all the way through the legislative process, Senator Gary Nodler who worked hard to successfully pass the bill in the Missouri Senate, Senator Jason Crowell who worked extremely hard with me on the manufacturing inputs exemption for the last two years, and Rep. Bryan Stevenson that advanced and handled the bill in the Missouri House. These four legislators helped us greatly and we appreciate their support and efforts on our behalf. We also thank the other legislators that put our need to pass this legislation and to remain competitive ahead of their personal and political concerns and allowed us to get the bill through the legislature.