Governor signs tax reform legislation into law

New law to benefit Ameren Missouri customers

On July 9, Gov. Mike Parson put his stamp of approval on a wide-ranging tax reform bill. Among several changes to the state tax code, Senate Bill 872 extends the existing state and local sales tax exemption on generation equipment to include transmission and distribution equipment. Initial estimates believe the sales tax exemption has the potential to save customers between $10-$12 million annually.

Ameren team members and other supporters join Gov. Mike Parson as he signs SB 872 into law.

"Thanks to the governor's actions, Ameren Missouri customers will experience some much-needed tax relief," said Bill McBrier, manager of non-income tax for Ameren Missouri. "As a company, we have been working on this legislation for the better part of a decade, and we are thankful to see it finally become law."

Prior to the passage of SB 872, the sales taxes paid by utility companies on equipment and materials used to generate or transmit electricity were part of their electric rates. Under the newly-signed-into-law legislation, those taxes on qualifying equipment will no longer be collected. The new law is set to take effect on Aug. 28.