Missouri New Generation Cooperative Incentive Tax Credit Program

The Missouri Agricultural and Small Business Development Authority administers this program to encourage producer investment in new generation processing entities, which process Missouri agricultural commodities and agricultural products into value-added goods while benefiting farmers and creating jobs.

Eligible entities are new generation processing entities organized under Missouri law with a minimum of 12 producer members. Producer members must hold majority governance/voting rights and control management hiring. Entities operate development facilities (producing goods from agricultural commodities) or renewable fuel production facilities. A 'producer member' is an individual or entity whose primary purpose is agricultural production.

Tax credits equal the lesser of 50 percent of the member's cash investment or $15,000. Large Capital Projects cap at $1.5 million per project allocation; Employee Qualified Capital Projects cap at $3.0 million, with pro-ration across members if exceeded. Credits may be carried forward four years and applied to state income, franchise, and financial institution taxes.

Guidelines, application forms, and transfer procedures are available through MASBDA at (573) 751-2129 or masbda@mda.mo.gov.