When is the best time to file your tax exemption?

Tax Exempt States

In 26 states there is an exemption for utilities used in production of a product - by a manufacturer.

Tax Exempt States

Utility Tax Exemption FAQs

Do states require professionals file the exemption application and engineering study?

No except in Texas (see Texas). Any manufacturer can complete and file the utility study.  Because the states require accurate studies and will deny studies with insufficient information, most states prefer the work be submitted by a professional.

Why is advocacy important?

There are many areas in the engineering study in which the State can and will argue that certain utility usage is not production and therefore does not qualify for exemption. For example: Electric used for a lift truck that performs work outside the production process, e.g. loading, unloading trucks or warehouse storage; and also moving…

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Testimonials

I enjoyed working with Mark because he did what he said he would do, was good at follow-up with us and the utility companies, and he kept me well informed along the way. The best part is that it took none of my time, and protected me from an embarrassing position had we gotten socked with a big liability.

- Jillian B. Kornac
Dreyer's Grand Ice Cream