Application of the Sales Tax exemption for the purchase of Farm Equipment and Machinery

To qualify for the Farm Equipment partial sales tax exemption the machinery must be used 50% or more directly for the production of food sold for resale.

Although we certainly grow a substantial number of crops for research, education and to feed our on-site food animals, the equipment is not typically used to produce food for general sale.

If your department is purchasing farm equipment that fits this use description, please reach out directly to Tax Reporting and Compliance to brainstorm.