sales tax exemption for corn stoves

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    Bill would tax-exempt corn stoves
    Tuesday, January 10, 2006
    By Edith Brady-Lunny
    eblunny@mchsi

    CLINTON - Dianna Sloat had escalating home heating bills on her mind Monday when she stopped by Clinton City Hall to see state Rep. Bill Mitchell.

    "You either get to keep warm or eat - you're not going to do both," Sloat told Mitchell, a Forsyth Republican.n;

    Mitchell visited five cities Monday as he announced plans to introduce legislation to exempt corn-burning stoves from state sales tax. In addition to Clinton, Mitchell also stopped in Taylorville, Decatur, Lincoln and Bloomington.

    He touted the stoves as an alternative heating source that would help families and seniors save energy dollars while generating revenue for farmers.

    "I feel the state should do more to encourage families to switch to corn-burning stoves by offering some tax relief because it is good for our local farmers, our economy, and our environment," said Mitchell.

    Sloat is concerned about senior citizens in her community and their ability to heat their homes as heating bills continue to grow.

    "I'm not here for myself. I'm thinking of people as they get older. I feel sorry for them," said Sloat.

    Mitchell said he has heard similar concerns from other constituents since the winter heating season began several weeks ago. The typical caller to Mitchell's office reports increases of about 50 percent in heating costs.

    Dried corn kernels may be one solution to the energy crunch, Mitchell said.

    "If you talk to farmers, this is not a new idea," he said of the corn furnaces.

    The sales tax provision could save taxpayers about $150 on the stoves that range in price from $1,600 to $3,000. The tax savings could cost the state about $1 million in revenue, Mitchell estimated.

    Mitchell said he intends to introduce the bill when the legislature convenes Wednesday. If a House committee moves the bill forward, the measure could be effective in the spring.

    A Taylorville family is among the U.S. manufacturers of corn-burning furnaces, said Mitchell.

    Big M Manufacturing has been producing the stoves since 1992. According to a flier, a hopper loaded with 14 bushels of corn will provide a 14-day supply of fuel.

    http://www.pantagraph.com/articles/2006/01/10/news/103316.txt
 
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