New Law Exempts Energy/Other Inputs From Sales Tax
Senate Bill 30, passed during the 2007 legislative session, provide Missouri manufacturers with tools they need to compete with manufacturers in other states and countries in the global economy. Manufacturers are now able to take much broader exemptions for energy use as well as new exemptions for research and development activities. These inputs include energy sources, water, chemicals, machinery, equipment, and materials when they are used in manufacturing, processing, compounding, mining, or producing of any product or when they are used in research and development related to those activities. These inputs are also exempt when they are used in the processing of recovered materials.
How to Claim the Exemption:
In order to claim the exemption from Missouri sales tax, you must supply Black River Electric Cooperative, as well as any other vendors from whom your business purchases exempt items, with a completed Sales Tax Exemption Certificate. You may obtain this form by clicking the following link:
Sales Tax Exemption Certificate-Form 149 (.pdf)
Please complete all applicable areas of the form. In box 5b, please show the percentage of your total energy usage that is consumed in the manufacturing process as well as the method used for calculating the percentage. When completed, forward a copy of the certificate to each of your vendors of exempt items, including Black River Electric Cooperative. The exemption will take effect on the energy bills issued by Black River Electric Cooperative following our receipt of the form.
To read the Missouri Department of Revenue's Emergency Rules on this exemption, please click the following link:
Emergency Rules (.pdf)