Sales Tax Exemptions

The State of Missouri is committed to providing incentives and financing for a strong and growing advanced manufacturing industry. Below is information about sales tax exemptions that are of interest to manufacturing companies interested in moving their business forward in the Show-Me State.

Manufacturing Equipment Sales Tax Exemption

Section 144.054, RSMo, exempts purchases of machinery, equipment, materials and chemicals used or consumed in manufacturing, processing, compounding, mining, or producing any product or used in research and development related to manufacturing, processing, compounding, mining, or producing any product from state tax and local use tax, but not local sales tax.

Manufacturing Energy Sales Tax Exemption

Section 144.054, RSMo, provides an exemption of state sales tax to a manufacturing company for electrical energy, gas (natural, artificial, or propane, water, coal, energy sources, chemicals, machinery equipment, and materials.