High Technology Sales/Use Tax Exemption

Businesses in the following research and development technology categories

• Advanced Computing
• Advanced Materials
• Biotechnology
• Electronic Device Technology
• Environmental Technology
   

may be eligible for a sales/use tax exemption if they start new research and development or pilot scale manufacturing operations, or expand or diversity a current operation by expanding, renovating or equipping an existing facility in Cowlitz County.

Eligible Candidates

The investment project must be devoted to research and development or pilot scale manufacturing to qualify for this exemption. The investment must consist of machinery and equipment, new structures, and/or expansion or renovation to increase floor space or production capacity. The machinery and equipment may be used, but must be new to the state or to
the business.

Qualified machinery and equipment means fixtures, equipment and support facilities that are an integral and a necessary part of pilot scale manufacturing or qualified research and development operation. Included are computers, software, data processing equipment, laboratory equipment, instrumentation, and other devices used in the process of experimentation to develop a new or improved pilot model, plant process, product, formula, invention or similar property. If a building, machinery, or equipment is used partly for pilot scale manufacturing or qualified research, and partly for other purposes, the tax deferral will be apportioned on the basis of the cost of the area used for the qualified purpose.

 

Incentive

An complete sales/use tax exemption is available to high technology companies meeting the eligibility requirements.