Meat Processing Facility Investment Tax Credit Program

Description

The Meat Processing Facility Investment Tax Credit was enacted to stimulate investment in the meat processing industry in Missouri and to enable the livestock industry to capture more value in the form of further processed meat products. Meat processing facilities located in Missouri that construct, improve, or acquire buildings, facilities, or equipment used exclusively for meat processing after January 1, 2022 are eligible to apply to the program.

How Does the Program Work?

For all tax years between 2022 and 2028, a taxpayer may claim this tax credit for meat processing modernization or expansion at their meat processing facility. The tax credit shall be equal to 25% of the amount the taxpayer paid in the tax year for modernization and expansion, and a taxpayer may not claim more than $75,000 per year.

This tax credit is non-refundable but may be carried forward 4 years. If two or more taxpayers own the facility, each may claim a credit in proportion to their ownership interest in the facility, but taken together all tax credits for one facility cannot exceed the $75,000 cap.

Who is Eligible?

Owner and operator who completes a meat processing facility modernization or expansion activities that occur on or after January 1, 2022 through December 31, 2028.

The owner and operator must employ a combined total of fewer than 500 individuals in all meat processing facilities owned by the individual or entity in this country.

Modernization or expansion activity(ies) paid for or reimbursed by state or federal funds are not considered eligible expenses for the Meat Processing Facility Investment Tax Credit.

Tax Credit Amount

A total of $2,000,000 in tax credits are available per calendar year, subject to budgetary constraints, for the Meat Processing Facility Investment Tax Credit Act (Chapter 135.686 RSMo). Tax credits shall be issued on an as-received application basis until the calendar year limit is reached. Any credits not issued in any calendar year shall expire and shall not be issued in any subsequent year.

The tax credit amount shall be 25% of the modernization or expansion costs, with a maximum of $75,000 per year.

Fees

$100 application fee and tax credit issuance fee of 3%.

A $50 fee is charged for each tax credit transfer.

Application Information

All Tax Credit applications for 2024 must be submitted no later than November 1, 2025.