There are many exemptions to sales and use taxes in Missouri. The following represent a few of the major exemptions.
Machinery and equipment used to establish a new or expand an existing manufacturing facility, provided such machinery or equipment is used directly to manufacture a product ultimately intended for sale.
Replacement machinery and equipment used directly in manufacturing a product ultimately intended for sale, provided their acquisition is necessary because of a change in design or product (as opposed to obsolescence).
Manufacturers’ raw materials (i.e., materials, manufactured goods, machines, and parts) that become a component part of tangible personal property intended to be sold for final use or consumption.
Machinery, equipment, and devices that abate air or water pollution.
Machinery and equipment used to establish or expand a material recovery processing plant.
All materials and supplies used to install tax exempt machinery and equipment.
Electricity consumed in the manufacturing process, provided the cost of electricity exceeds 10% of total production costs; and anodes, with a useful life of less than one year, used in manufacturing or production.
Materials, replacement parts, and equipment used directly upon and for the repair and maintenance or manufacture of common carriers.
Tangible personal property purchased for use or consumption in research and development of prescription pharmaceuticals for humans or animals or in research and experimentation activities performed by life sciences companies.
Computers, computer software, and computer security systems purchased for use by architectural or engineering firms headquartered in Missouri.