Nebraska Supreme Court - Any amount of manufacturing use qualifies equipment for sales and use tax exemption

State and Local Tax
On March 14, 2014, the Nebraska Supreme Court determined manufacturing equipment was exempt from sales and use tax when any amount of its use was in manufacturing. The court rejected the state’s requirement that qualified equipment must be used more than 50% in manufacturing.

Nebraska taxpayers that paid sales or use tax on equipment used in manufacturing, but not used more than 50% in manufacturing, should consider whether refunds may be available consistent with this decision. [Kerford Limestone Co. v. Nebraska Dep't of Revenue et al., 287 Neb. 653, No. S-13-035 (3/14/2014)]

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