This substitute reenacts the wood energy tax credit for state income tax purposes which expired on June 30, 1995. Changes from previous law allow charcoal to be considered a processed wood product for purposes of obtaining the credit and do not allow any wood energy producer operating pursuant to an exemption to the rules of the Air Conservation Commission to obtain the credit. This provision will expire on December 31, 2000. The substitute also exempts from state sales and use tax all sales of livestock when either the seller is engaged in the growing, producing, or feeding of livestock or the seller is engaged in the business of buying and selling, bartering, or leasing of livestock.
Livestock is defined in the bill as cattle, hogs, horses, mules, sheep, and goats.
In addition, the substitute exempts the sales of barges used primarily in the transportation of property or cargo on interstate waterways from state and local sales and use tax and exempts all gifts given to the state from state and local sales and use tax. Supporters say that the proposed changes in this substitute will give needed tax relief and will clarify ambiguities in current tax law. There was no opposition voiced to the committee. Crum This bill reenacts the wood energy tax credit for state income tax purposes which expired on June 30, 1995. Changes from previous law allow charcoal to be considered a processed wood product for purposes of obtaining the credit and do not allow any wood energy producer operating pursuant to an exemption to the rules of the air conservation commission to obtain the credit.