AR SB362

Sunsets the retention tax credit as of July 1, 2017, though projects approved before that date may continue to earn credits and carry them forward as provided in law.

Sunsets the increased tax refund for major maintenance and improvement projects as of July 1, 2022, with no new applications accepted after that date.

Phases in a tax exemption for manufacturing machinery and equipment repairs and partial replacement over four years, reducing the refund threshold from 4.875% (July 1, 2014) to full exemption (July 1, 2022): 3.875% (2018), 2.875% (2019), 1.875% (2020), and 0.875% (2021).

Establishes two alternative claim methods for tax refunds beginning July 1, 2018: direct pay permits with self-refunding or credit/rebate claims filed with the department with a one-year filing deadline and no interest accrual.

Declares an emergency effective immediately, citing Arkansas's uncompetitive tax rate compared to surrounding states and the need to attract and retain manufacturing jobs.