Missouri · Investment · MO-NEWINV-001
New Investment Tax Credit
Publication revised September 24, 2026. Sourcebook page 164.
Credit amount / calculation
Discretionary award up to 2.5% of new capital investment during the three-year benefit period. Minimum: $30 million in a certified Missouri Innovation Zone or $50 million elsewhere.
Business fit and eligible activity
Effective August 28, 2026, this credit targets very large capital projects and will usually be above small-mill scale. Qualified investment or approved project activity; confirm eligible property, location and taxpayer type.
Eligibility and practical use
This is the kind of credit that can matter to a capital-intensive mill even when the project adds only a handful of jobs. Logging equipment deserves a separate eligibility check because mobile harvesting property may be treated differently from machinery used at a manufacturing site. Check the approval deadline before signing a purchase order or contract. A binding commitment made too early can disqualify a project.
Illustrative business benefit
A qualifying $30 million Innovation Zone project approved at 2.5% has a maximum calculated award of $750,000. A $1.2 million equipment purchase is below the program threshold.
Timing / first action
Seek approval before signing a purchase order, contract, lease or other binding commitment. Implemented August 28, 2026. Meet the investment threshold within two years of the notice of intent. Obtain an agency proposal and confirm the site is in a certified Innovation Zone before using the $30 million threshold.
Official sources
Related programs
Missouri Works Tax Credit
Approved projects may retain withholding on qualifying new
Expanding manufacturers can earn performance-based credits, but the program has strict pre-project timing.
Qualified Research Expense Tax Credit
Generally
Manufacturers with increased Missouri qualified research expenses can apply for an allocation-limited credit.
Wood Energy Tax Credit
$5 per ton of processed material for up to five years
Rare forest-specific production credit for processed wood products made from Missouri forest-product residue.
Clean Electricity Investment Credit (Internal Revenue Code §48E)
Generally
Potentially relevant when a forest-products facility owns qualifying zero-emission generation or energy-storage property.
Clean Electricity Production Credit (Internal Revenue Code §45Y)
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Alternative to the investment credit for owners/operators of qualifying clean-electricity facilities; potentially relevant to qualifying on-site generation.
Credit for Increasing Research Activities (Internal Revenue Code §41)
Regular research-credit method
A sawmill, secondary manufacturer or biomass business can qualify when it performs genuine technological experimentation to improve a product or process.