Missouri House passes tax break for restaurants, grocers

JEFFERSON CITY, Mo. (AP) -- Restaurants wouldn't have to pay sales and use taxes on electricity and other utilities used to prepare food under a measure headed to the Missouri Senate.

The House voted 108-44 on Tuesday in favor of the legislation.

It would extend tax exemptions currently in place for manufacturers to stores that make food. That would cover bakers, fast food restaurants, groceries and others.

The legislation follows efforts by some restaurants to get tax breaks on the purchase of tables, chairs and other kitchen equipment.

The Missouri Supreme Court in 2010 ultimately ruled that restaurants are not the same as manufacturing companies and shouldn't get the same tax breaks.

Legislative researchers estimate the pending measure would cost between $5.6 million and $9.3 million in general revenue next fiscal year.