For Immediate Release
Date: August 28, 2007
Contact: Maura Browning
Phone: (573) 751-8222

Revenue Department Announces New Manufacturing Exemption in Effect

        JEFFERSON CITY – To the delight of Missouri manufacturers working hard to compete in a global market, Senate Bill 30 goes into effect today.  Gov. Matt Blunt has taken action to help Missouri manufacturers maintain a level playing field with manufacturers from other states.  In signing SB 30, Gov. Blunt enacted into law tax exemptions for Missouri manufacturers, designed to promote growth in Missouri’s manufacturing sector and attract new business to the state.

        The exemption applies to all energy, water, machinery, equipment and supplies used in the manufacturing process, as well as the research and development that goes into producing these products.  It applies to state sales and use tax, as well as local use tax. The exemption will not apply to local sales tax. Simply put, this will free up capital for Missouri manufacturers to grow their current lines of business, expand into new lines, and help spur Missouri’s economy.

        The Missouri Department of Revenue held over 20 meetings statewide to reach out to the manufacturing community in Missouri and coordinated conference calls with interested industry groups.  Emergency rules were placed on the department’s website (www.dor.mo.gov) to solicit input from the industry.  Basic and technical information on the exemptions is available on the department’s website.

        Scott George, CEO of Mid-America Dental and Hearing Center and Chairman of the Missouri Small Business Regulatory Fairness Board, lauded the department’s outreach.  "Reaching out to the affected small businesses, as the department developed the initial emergency rules, will ensure that this tax savings will translate into more Missouri manufacturing jobs.  By spreading the good word and helping with implementation tips, DOR has saved and created jobs for Missourians."

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