Grocery chain Schnuck Markets Inc. won’t get a sales tax refund for electricity and natural gas used to operate the bakery departments at 40 Missouri stores.
The Missouri Supreme Court on Tuesday affirmed an earlier decision by the state’s Administrative Hearing Commission that the company’s in-store bakeries are not “processing centers” and therefore aren’t entitled to a sales tax exemption under a 2007 state statute. The exemption was designed to promote manufacturing growth in the state.
After the law was enacted, the Missouri Department of Revenue defined “processing” under the statute as a bakery that “creates baked goods for sale directly to the public or through retailers.”
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