Missouri upheld exemption for purchases of computers and software.

Two primary criteria were evaluated by the commission to determine if the firm in question qualified for the engineering exemption. First, would the company qualify if the company offers more than just engineering services? It was determined that the exemption did not mandate that a company exclusively offer engineering services. Second, the exemption stipulates that the company must have at least four integrated facilities. The commission decided that semi-permanent locations could help meet this requirement as long as the facilities were truly integrated and that each location contributed to a unified business operation. (Murphy Company Mechanical Contractors & Engineers v. Director of Revenue, Docket No. 03-0425 RS, June 8, 2004.)

Posted on July 28, 2004