In 2023, the Missouri legislature passed House Bill 3, allowing utility vehicles and rotary mowers to be exempt from sales tax if used for “any” agricultural purpose as opposed to being used exclusively for agricultural purposes. The Missouri Department of Revenue recently updated their guidance document for equipment dealers to reflect this change. NAEDA just became aware of the updated guidance document that includes this change and thought it would be helpful to share with all Missouri dealers.
The specific language from Section 22(a) of HB 3 includes the following exemption language with new language in bold:
(a) New or used farm tractors and such other new or used farm machinery and equipment, including utility vehicles used for any agricultural use, and repair or replacement parts thereon and any accessories for and upgrades to such farm machinery and equipment[,] and rotary mowers used [exclusively] for any agricultural purposes [, and]. For the purposes of this subdivision, “utility vehicle” shall mean any motorized vehicle manufactured and used exclusively for off-highway use which is more than fifty inches but no more than eighty inches in width, measured from outside of tire rim to outside of tire rim, with an unladen dry weight of three thousand five hundred pounds or less, traveling on four or six wheels;
If you have any questions relating to this, please contact me directly.
