Missouri – Taxability of Sanitation Supplies and Cleansers

SALT Report 1582 – The Missouri Department of Revenue issued a Letter Ruling regarding a Taxpayer’s purchases of sanitation supplies and cleansers.  The Taxpayer owns and operates a meat processing company and uses the sanitation supplies to clean the meat processing room, the utensils, and the machinery between every production cycle and at the end of the day.
Missouri section 144.054.2 RSMo provides an exemption from state sales and use taxes and local use taxes for, “electrical energy and gas, whether natural, artificial, or propane, water, coal, and energy sources, chemicals, machinery, equipment, and materials used or consumed in the manufacturing, processing, compounding, mining, or producing of any product.”
The Department determined that since the taxpayer’s sanitation supplies and cleansers are used or consumed in the manufacturing of meat products the taxpayer’s purchases of sanitation supplies and cleansers qualified for the exemption from state sales and use tax and local use tax, but not local sales tax under section 144.054.2 RSMo.
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