Arkansas legislation · 95th General Assembly (2025 Regular)
Arkansas HB1702: TO AMEND THE SALES AND USE TAX EXEMPTIONS FOR CERTAIN MACHINERY AND EQUIPMENT USED IN MANUFACTURING; AND TO PROVIDE A SALES AND USE TAX EXEMPTION FOR MACHINERY AND EQUIPMENT USED IN CLOSED-LOOP RECYCLING
Status: Failed, May 5, 2025
What the bill says
An act to be entitled an act to amend the sales and use tax exemptions for certain machinery and equipment used in manufacturing; to provide a sales and use tax exemption for machinery and equipment used in closedloop recycling; and for other purposes. subtitle to amend the sales and use tax exemptions for certain machinery and equipment used in manufacturing; and to provide a sales and use tax exemption for machinery and equipment used in closed-loop recycling.
From the introduced text:
An Act To Be Entitled AN ACT TO AMEND THE SALES AND USE TAX EXEMPTIONS FOR CERTAIN MACHINERY AND EQUIPMENT USED IN MANUFACTURING; TO PROVIDE A SALES AND USE TAX EXEMPTION FOR MACHINERY AND EQUIPMENT USED IN CLOSEDLOOP RECYCLING; AND FOR OTHER PURPOSES. Subtitle TO AMEND THE SALES AND USE TAX EXEMPTIONS FOR CERTAIN MACHINERY AND EQUIPMENT USED IN MANUFACTURING; AND TO PROVIDE A SALES AND USE TAX EXEMPTION FOR MACHINERY AND EQUIPMENT USED IN CLOSED-LOOP RECYCLING. BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: SECTION 1. Arkansas Code § 26-52-402(c)(2)(B), concerning the machinery and equipment that is included in the list of machinery and equipment that is used directly in the manufacturing process for purposes of the sales tax exemption on certain machinery and equipment, is amended to add an additional subdivision to read as follows: (vii)(a) Machinery and equipment used to mechanically recycle post-use materials in a closed-loop circular process, including without limitation machinery and equipment: (1) Used to identify, gather, transport, and store post-use materials; (2) Used to convert post-use materials *JLL207* 03/05/2025 12:40:46 PM JLL207 HB1702 into raw materials, work-in-process materials, or a finished product; and (3) That convey converted post-use materials directly to where it is reintroduced into the taxpayer's manufacturing process. (b) As used in this subdivision (c)(2)(B)(vii): (1) "Closed-loop …