MO SB928

Repeals section 144.030 and enacts sections 144.018 and 144.030 relating to sales tax treatment of purchases made for resale purposes.

Provides that purchases of tangible personal property or services for resale are exempt or excluded from sales tax if the subsequent sale is subject to tax in any state, for resale, excluded from tax, exempt under Missouri law, or exempt in another state where the resale occurs.

Specifies that places of amusement, entertainment, or recreation must remit tax on admissions or fees for initial sales, but subsequent resales are not taxed if the initial sale was an arms-length transaction for fair market value with an unaffiliated entity.

Establishes the same resale tax rules for hotels, motels, restaurants, and similar establishments regarding rooms, meals, and drinks.

Declares the act an emergency measure intended to reject and abrogate prior Missouri Supreme Court case law interpretations regarding sales for resale, specifically referencing Music City Centre Management, LLC v. Director of Revenue and ICC Management, Inc. v. Director of Revenue from 2009.