Missouri – Taxability of Items Sold to Common Carriers

SALT Report 1454 – The Missouri Department of Revenue issued a letter ruling regarding the taxability of items sold to common carriers that provide exemption certificates to retailers. The Department ruled that placards, decals, trailer seals, and load tie-down straps, are exempt from Missouri sales and use tax under Section 144.030.2(3)RSMo because the products are used “directly on motor vehicles operated by common carriers.

The retailer sells mileage tracking software on CD’s that allows office personnel to input and track mileage data for each truck and arrange the information into a report.  This software is considered the transfer of tangible personal property and is subject to tax under Missouri Code of State Regulations 12 CSR 10-109.050(1).

The retailer’s sales of driver’s logbooks, safety pocketbooks, vehicle inspection forms, bill of lading forms, wallet cards, and safety kits are taxable.  As well as, manuals and newsletters on topics such as hazardous material handling, fleet safety compliance, and vehicle maintenance are subject to sales and use tax if the manuals and newsletters are transmitted in the form of tangible personal property as defined in §144.2.1(1) RSMo.

For Further Information:

Missouri Department of Revenue – Letter Ruling No LR 7068