Missouri House OKs utility tax exemption for food production
JEFFERSON CITY (AP) - A measure that would exempt electricity and other utilities used to make food at restaurants, grocery stores and bakeries from sales tax is moving forward in the Missouri Legislature.
The Missouri House on Tuesday approved the sales and use tax exemption by a vote of 98-49.
The Missouri Supreme Court ruled last year that grocery story bakeries would have to continue paying taxes on utilities.
But supporters say the Legislature had always intended for utilities used to produce food be exempt from sales taxes.
Gov. Jay Nixon vetoed a similar proposal last year, saying it and other tax proposals were too costly and catered to special interests.
The measure now heads to the Senate.