When Exemption Certificates Are n t Required Section 144.210 states that a seller must have a signed exemption certificate to prove an exempt sale. But it also states that a taxpayer can prove that a sale is exempt from tax in accordance with proof admissible under applicable rules of evidence before any administrative tribunal of the state. An exemption certificate is not required for sales of service, sales of real property, and sales that are exempt as export sales. However, when that decision was written in 1990, section 144.210 did not permit taxpayers to offer evidence other than exemption certificates, as it does today. Exempt letters are issued by the state of Missouri to qualifying organizations.
Exempt entities provide the letter to their vendors.
It is unlike an exemption certificate that can only exempt the purchases of the buyer. The letter also states the date of expiration. A seller is required to have a copy of the exempt entity s letter from the state as documentation for their non-taxed sales. Remember that the exemption applies only if a sale of tangible personal property is made to an exempt organization and the purchase is ultimately paid for from the funds of the organization. Sales of consumable items to be used by a business in making a product for sale to an exempt entity.