This bill seeks to amend Arkansas's taxation laws concerning lithium extraction and development by introducing a sales and use tax exemption specifically for lithium resource development. It also expands the definition of "solid waste" to include electronic waste, thereby allowing for sales and use tax exemptions related to waste reduction, reuse, or recycling equipment. Additionally, the bill modifies the severance tax framework to include lithium alongside bromine, establishing new definitions such as "qualified facility" and "qualified firm" that set criteria for tax exemptions based on investment and job creation.

Key provisions include a minimum investment requirement of $100 million for tax exemptions and a detailed allocation of severance tax revenues, with three percent directed to the General Revenue Fund and ninety-seven percent to the County Aid Fund. The bill sets specific tax rates for brine produced for bromine or lithium extraction, establishing a primary tax of twenty cents per one thousand barrels and a supplementary tax of ten cents per one thousand barrels. These changes are set to take effect on October 1, 2025.

Statutes affected:
Old version SB568 V2 - 4-1-2025 11:53 AM: 19-6-301(61), 26-51-506(b), 26-58-111(9), 26-58-124(a), 26-58-124, 26-58-301(b), 26-58-302(b)
Old version SB568 V3 - 4-8-2025 10:30 AM: 19-6-301(61), 26-51-506(b), 26-58-111(9), 26-58-301(b), 26-58-302(b)
Old version SB568 V4 - 4-9-2025 01:44 PM: 19-6-301(61), 26-51-506(b), 26-58-111(9), 26-58-124(a), 26-58-124, 26-58-301(b), 26-58-302(b)
Old version SB568 Original - 3-27-2025 08:55 AM: 19-6-301(61), 26-51-506(b), 26-58-111(9), 26-58-124(a), 26-58-124, 26-58-301(b), 26-58-302(b)
SB 568: 19-6-301(61), 26-51-506(b), 26-58-111(9), 26-58-124(a), 26-58-124, 26-58-301(b), 26-58-302(b)
Act 1012: 19-6-301(61), 26-51-506(b), 26-58-111(9), 26-58-124(a), 26-58-124, 26-58-301(b), 26-58-302(b)