Manufacturing Machinery and Equipment State Sales Tax Exclusion Sample Clauses

Manufacturing Machinery and Equipment State Sales Tax Exclusion. Description: The Louisiana Department of Revenue provides (and Owner is eligible) for the sales tax exclusion for manufacturing machinery and equipment (the MM&E Exemption) as described in Attachment 4. Until July 1, 2009, 68% of the sales price or cost price of eligible equipment is not subject to state sales or use tax. Beginning July 1, 2009, 100% of the sales price or cost price of eligible equipment is not subject to state sales or use tax. Owner may designate Contractor and subcontractors as its agent for purposes of purchasing eligible machinery and equipment (Attachment 5). Under such agency designations, ownership of eligible equipment vests in Owner and the Owner’s exemption certificate (Attachment 6) may be used by Contractor and subcontractors in connection with the purchase of eligible machinery and equipment that will be incorporated into the Work. The agency designations and Owner’s exemption certificates may not be used to make tax reduced or non-taxable purchases or uses of any property that will not become part of the Work. If a vendor charges tax in excess of that required under state law, Contractor shall assist Owner on seeking refunds of such overpaid taxes. Qualifying items: Attachment 4 provides a description and associated requirements for qualifying items. Contractor requirements: • Complete the appropriate schedules from Attachment 7 for qualifying items purchased during construction. • Submit completed schedules to Owner with each monthly application for payment for purchases made during the payment period. • Provide legible copies of each invoice on the submitted schedules. • Provide a certification that the non-exempt portion of 4% Louisiana State and local sales/use tax has been paid on the items listed on the schedules. Attachments: 1. Enterprise Zone Program Fact Sheet 2. Enterprise Zone Program Sales/Use tax Rebate Guidelines