Chapter 100 Property Tax Exemption

Purpose
Provide a sales tax exemption on tangible personal property purchased
through Chapter 100 bonds for non-manufacturing purchases.

Authorization
Section 144.054(3), RSMo, as enacted in Senate Bill 30 (2007).

Eligible Areas
Statewide.

Eligible Applicants
Any company for which Chapter 100 bonds are issued that purchases
personal property.  Companies eligible for Chapter 100 bond financing
include manufacturing, warehousing, distribution, office, research and
development, agricultural processing, and services in interstate
commerce. Retail, services in intrastate commerce and others are not
eligible.

Eligibility Criteria
The project cannot have been announced; bonds already
approved/issued; or personal property already purchased. The project
must:

• Involve competition with another state; therefore, a comprehensive state/local incentive proposal will be involved in an attempt to win the project;
• Have above-average wages with benefits, or be in an economically distressed or blighted area;
• Include local incentives provided to the project commensurate with the state incentives, relative to the new state/local tax revenues created by the project;
• Have a positive state fiscal benefit, including all the state incentives proposed for the project; and
• Have an indication that the city and county have approved the local sales tax exemption.  (The local sales tax exemption may also be provided independent of the state sales tax.)

Program Benefits/Eligible Uses
The Missouri Department of Economic Development (DED) will issue a
state or local sales tax exemption to a company for which Chapter 100
bonds have been issued. The company must present the exemption to
the vendor they are purchasing the equipment from.

Application/Approval Procedure
DED will coordinate a state/local incentive proposal to qualifying
projects, in which the exemption will be included.  Upon the decision to
proceed, the business will file the Missouri form “Chapter 100 Sales Tax
Exemption Application,” and return the completed form to the DED for
approval and certification.  Upon approval, DED will issue a certificate
authorizing the applicant to claim the tax exemption.  The applicant
must then display the tax exemption to the vendor before the purchase
is made.

Contact
Missouri Department of Economic Development
Business and Community Services
Finance Management Team
301 West High Street, Room 770
P.O. Box 118
Jefferson City, MO 65102
Phone: 573-751-4539       Fax: 573-522-4322
E-mail: dedfin@ded.mo.gov
Web:  www.MissouriDevelopment.org

Business and Community Services
301 W. High Street, Rooms 720, 770  Jefferson City, Missouri 65102
Tel: 1-866-647-3633    Fax: 1-573-751-7384    Email: missouridevelopment@ded.mo.gov