AR HB1596

Amends Arkansas Code § 26-52-401(12)(B)(i) to include "printing" alongside manufacturing, compounding, processing, assembling, and preparing for sale in the sales tax exemption for items sold for resale, provided the goods become a recognizable integral part of the final printed product.

Adds a definition of "articles of commerce" under Arkansas Code § 26-52-402(b) to include: items placed on the market for retail sale, printed items produced for a specific customer in response to a special order, and items that become recognizable integral parts of such articles.

Clarifies that "manufacturing" and "processing" include printing of all kinds, types, and characters, along with incidental services such as overprinting and photographic processing.

Amends Arkansas Code § 26-52-402(c)(1)(B) to clarify that "directly" limits the machinery and equipment exemption to only those used in actual production during processing, fabricating, or assembling raw or semifinished materials into commercially marketed products.

Establishes an effective date of the first day of the calendar quarter following the act's effective date for Sections 1-3; approved April 25, 2021.