Show-Me Green Sales Tax Holiday Information for Vendors
The Show-Me Green Sales Tax Holiday exempts state sales tax on retail sales of qualifying energy star certified new appliances, up to one thousand five hundred dollars per appliance, during a seven-day period beginning at 12:01 a.m. on April nineteenth and ending at midnight on April twenty-fifth.
The following energy star certified appliances qualify for the holiday.
- Clothes washers
- Clothes dryers
- Water heaters
- Trash compactors*
- Conventional ovens*
- Air conditioners
- Heat Pumps
*According to the Energy Star Website, trash compactors, conventional ovens, ranges and stoves do not receive an energy star rating. Therefore, although the statute anticipates that some day they may receive the energy star rating, tax will continue to apply to purchases of these items during the upcoming Show-Me Green Sales Tax Holiday.
Cities, counties and districts may also participate in the sales tax holiday by enacting an ordinance exempting their locally imposed sales tax during the Show-Me Green Sales Tax Holiday
Retailer’s selling less than two percent of the qualifying merchandise, shall offer a sales tax refund in lieu of the sales tax holiday.
Filing Your Return for the Sales Tax Holiday Period
- Businesses within a local jurisdiction that is not participating in the sales tax holiday, will receive a long form, Sales Tax Return (Form 53-1). that will replace the normal return for the period. All sales made at the full tax rate must be indicated on one line, while all holiday related sales taxed by each municipality will be treated as an item tax, with a reduced rate, on a separate line. On the preprinted returns this will appear as a business location with the name “SH03”. See Example 1.
- Businesses within a local jurisdiction that is participating in the sales tax holiday may continue to use the normal filing method for this period. Enter total gross receipts for all sales made, indicating holiday sales as a negative adjustment on the return. See Example 2.
- Retailer’s selling less than two percent of the qualifying merchandise must offer a sales tax refund in lieu of the sales tax holiday.
- Businesses that do not sell qualifying items may continue to use the normal filing method or voucher filing for this period.
For questions regarding the sales tax holiday, please email us at: [email protected]
Below is an example of how a return should appear if one or more of your local taxing authorities does not participate in the sales tax holiday.
Total sales for the tax period were $3000. Of the $3000, $1000 was received for qualifying appliances. Because the local taxing authorities are not participating in the holiday, the tax rate applied against the $1000 in sales is 2%. (The normal tax rate for the area in this example is 6.225%, of which 4.225% is the state tax rate. In order to find the reduced rate the customer should be charged, use the following formula: 6.225 – 4.225 = 2.000 %.) Even though the local taxing authority is not participating, the customer still receives an exemption from the state tax rate.
|BUSINESS LOCATION||CODE||GROSS RECEIPTS||ADJUSTMENTS(+ OR -)||TAXABLE SALES||RATE (%)||AMOUNT OF TAX|
|123 Main Street||-||$2000.00||-||$2000.00||6.225||$124.50|
* Holiday Sales
Below is an example of how the return will appear if all local taxing authorities are participating in the sales tax holiday.
Total sales for the month were $3000. Of the $3000, $1000 was received for qualifying appliances. Because the local taxing authority is participating in the holiday, the holiday sales are completely exempt from tax. The customer will receive an exemption from both state and local tax for this time period.
|BUSINESS LOCATION||CODE||GROSS RECEIPTS||ADJUSTMENTS (+ OR -)||TAXABLE SALES||RATE (%)||AMOUNT OF TAX|
|123 Main Street||-||$3000.00||-$1000.00||$2000.00||6.225||$124.50|