March 17, 2011
Green Sales Tax Holiday Means Savings for Buyers of Energy-Efficient Appliances
JEFFERSON CITY - The director of the Missouri Department of Revenue today used St. Patrick's Day as an opportunity to remind Missourians and out-of-state citizens who live near Missouri border towns about Missouri's third Show-Me Green Sales Tax Holiday in April.
"The state's sales tax holiday for energy-efficient appliances is associated with the color green for a good reason," said Alana M. Barragán-Scott. "Citizens save 'green' (money), when they pay less sales tax and have smaller utility bills, people 'go green' by helping the environment when they purchase energy-efficient appliances, and appliance retailers can 'make green' when citizens come to buy appliances. That's why the Department of Revenue annually uses the holiday most associated with green - St. Patrick's Day - to make people aware of our sales tax holiday."
The Department of Revenue will also be promoting the sales tax holiday in Maryville and Macon on Friday and Monday, respectively.
The Show-Me Green Sales Tax Holiday runs from Tuesday, April 19, through Monday, April 25. People who purchase new ENERGY STAR® qualified appliances in Missouri during the holiday will save at least 4.225 percent off the purchase. The reduced price represents the elimination of the state's sales tax from the purchase.
Many local governmental entities have also opted to participate in the holiday. This means qualified purchases in those areas will be exempt not just from the state sales tax, but also city, county and special district sales taxes. Nine counties, 43 cities and 14 special districts (all listed below) have opted to participate in the holiday. The director stressed, however, that citizens should take the time before next month's holiday to look for what is best for their needs.
"No matter where people shop, they will save at least 4.225 percent, and that's a significant savings," Barragán-Scott said. "However, people also need to know what kind of appliance is best suited for their homes and what other potential savings are available."
She noted that some manufacturers offer rebates on purchases of ENERGY STAR® appliances, and local appliance retailers sometimes offer special deals during the week of the tax holiday.
This is the third year the Show-Me Green Sales Tax Holiday will be held. The holiday was established in legislation (Senate Bill 1181) passed by the General Assembly in 2008.
The director stressed that the actual purchase of the appliance must take place during the sales tax holiday between April 19 and April 25. Any qualified appliance must have the ENERGY STAR® label on it. ENERGY STAR® is a joint program of the U.S. Environmental Protection Agency and the U.S. Department of Energy. The program allows manufacturers of appliances to voluntarily label selected appliances if they meet certain criteria. The goal is to promote appliances that perform as well or better than similar appliances while using less energy. The program has saved businesses and consumers billions of dollars since its inception in 1992.
ENERGY STAR®-labeled appliances that qualify for the sales tax exemption are:
More information about the ENERGY STAR® program can be obtained at http://www.energystar.gov/.
The sales tax exemption only applies to the first $1,500 on each appliance. If an appliance costs more than $1,500, the regular sales tax rate is in effect for any of the purchase price above $1,500.
Although SB 1181 listed other appliances eligible for the sales tax savings, not all of the listed appliances have yet met ENERGY STAR® guidelines. Examples of appliances NOT eligible for the sales tax exemption are clothes dryers, trash compactors, conventional ovens, ranges and stoves. Some ENERGY STAR®-labeled products, including lighting fixtures, office equipment and home electronics, are also not eligible for the sales tax exemption because they are not listed in SB 1181.
Barragán-Scott noted that out-of-state purchasers can benefit from sales tax holiday by shopping in cities that lie on the state's border.
"Our friends from Kansas, Illinois, Iowa and the other states that border Missouri can benefit from this sales tax holiday just as much as Missourians," she said. "I encourage our out-of-state neighbors to come to Missouri between April 19th and 25th and get a good deal on an energy-efficient appliance."
The nine counties that will participate in the holiday and will waive their county sales taxes on qualified purchases are: Adair, Cass, Gasconade, Johnson, Macon, Moniteau, Nodaway, Ste. Genevieve and Washington.
The 43 participating cities are: Airport Drive, Belton, Bethany, Bowling Green, Brookfield, Butler, Cottleville, Desloge, Dexter, Fenton, Fredericktown, Gladstone, Hannibal, Hazelwood, Hillsboro, Ironton, Jackson, Kahoka, Kansas City, Kirksville, Lee's Summit, Lexington, Macon, Maryville, Memphis, Osceola, Overland, Park Hills, Perryville, Platte City, Raymore, Republic, Rock Hill, Rock Port, Salisbury, St. Charles, St. Elizabeth, Ste. Genevieve, Sunset Hills, Tarkio, Town & Country, Union and Washington.
The 14 participating special districts are: 370/Missouri Bottom Road/Taussig Transportation Development District (TDD) (Hazelwood and Bridgeton), Antioch Center Community Improvement District (CID) (Kansas City), Belton Town Centre Transportation Development District, Central Jackson (County) Fire Protection District, Columbia Mall TDD, Douglas Square TDD (Lee's Summit), Douglas Station TDD (Lee's Summit), Kingsmill TDD (O'Fallon), Richardson Crossing CID (Arnold), Strother Interchange TDD (Lee's Summit), Tori Pines Commons Community Development District (CDD) (St. Louis County), Town Plaza CID (Cape Girardeau), U.S. Highway 65 & Truman Dam Access Road TDD (Warsaw) and Victoria Crossing CDD (St. Louis County).
Frequently asked questions about the Show-Me Green Sales Tax Holiday are answered at http://dor.mo.gov/tax/business/sales/taxholiday/green/faq.htm.
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