WAC 210

Farmer's Retail Sales Tax Exemption Certificate(Sample)

Agriculture

Wine Industry

Agricultural Tax Guide

Landscaping and Horticultural Services

Guidelines for the Agricultural Burning Exemption

"Tax year," "taxable year."

"Sale at retail," "retail sale."

"Agricultural product," "farmer."

Tax on retailers.

Tax on manufacturers and processors of various foods and by-products -- Research and development organizations -- Travel agents -- Certain international activities -- Stevedoring and associated activities -- Low-level waste disposers -- Insurance agents, brokers, and solicitors--Hospitals -- Commercial airplane activities -- Timber product activities -- Canned salmon processors.

Exemptions -- Sales of agricultural products.

Exemptions -- Amounts received by hop growers or dealers for processed hops shipped outside the state.

Exemptions -- Hatching eggs and poultry.

Field burning reduction cost - Repealed by 2005

Tax imposed -- Retail sales -- Retail car rental.

Exemptions -- Sales of machinery and equipment for manufacturing, research and development, or a testing operation -- Labor and services for installation -- Exemption certificate -- Rules.

Exemptions -- Auction sales of tangible personal property used in farming.

Exemptions -- Sales of livestock.

Exemptions -- Sales of poultry for producing poultry and poultry products for sale.

Exemptions -- Sales of semen for artificial insemination of livestock.

Exemptions -- Sales of pollen.

Exemptions -- Lease of certain irrigation equipment.

Exemptions -- Sales of food and food ingredients.

Exemptions -- Sales of feed consumed by livestock at a public livestock market.

Resale certificate--Purchase and resale--Rules.

Exemption - Machinery, equipment, or structures that reduce field burning - Repealed by 2005

Exemption - Replacement part for qualifying farm machinery and equipment

Exemption - diesel, biodiesel, and aircraft fuel for farm fuel users

Exemptions -- Animal pharmaceuticals.

Exemptions -- Livestock nutrient management equipment and facilities.

Exemptions -- Propane or natural gas to heat chicken structures.

Exemptions -- Chicken bedding materials.

Exemptions -- Machinery and equipment used for manufacturing, research and development, or a testing operation.

Exemptions -- Use of tangible personal property previously used in farming and purchased from farmer at auction.

Exemptions -- Use of livestock.

Exemptions -- Use of poultry for producing poultry and poultry products for sale.

Exemptions -- Use of semen in artificial insemination of livestock.

Exemptions -- Use of pollen.

Exemptions -- Use of certain irrigation equipment.

Exemptions -- Use of food and food ingredients.

Exemptions -- Use of feed consumed by livestock at a public livestock market.

Exemption - Machinery, equipment, or structures that reduce field burning - Repealed by 2005

Exemptions -- Animal pharmaceuticals.

Exemptions -- Livestock nutrient management equipment and facilities.

Exemptions -- Propane or natural gas to heat chicken structures.

Exemptions -- Chicken bedding materials.

Sales and use taxes authorized-Additional taxes authorized-Maximum rates.

Application to certain products. Litter tax.

Department of revenue to administer -- Chapters enforced by Liquor and Cannabis Board.

Definitions. Timber and forest lands.

Sales of agricultural products by farmers.Effective 4/10/94.WAC 122 incorporated into WAC 210, effective 9/25/03.

Sales of tangible personal property for farming – Sales of agricultural products by farmers This rule explains the application of business and occupation, retail sales, and use taxes to the sales of tangible personal property to farmers. It also explains the application of taxes to the sale of agricultural products by farmers. Rule 210 has been revised to: Update information to conform to existing law on the taxability of manufacturing fresh fruits and vegetables; manufacturing dairy products; purchasing nutrient management equipment and facilities; and use of reseller permits.

Sales of tangible personal property for farming--Sales of agricultural products by farmers. Emergency rule effective 10/28/05. May be used to determine tax liability until February 25, 2006 unless the Department adopts a permanent rule prior to this date.

Sales of Tangible Personal Property for Farming-Sales of Agricultural Products by Farmers has been revised to: * Include verbiage that marijuana is not included in the definition of an “agricultural product” (subsection (3)); * State that for the purpose of this rule the definition of “seed” does not include seeds or propagative portions of plants used to grow marijuana (subsection (5)((c)(ii)); * State that for the purpose of this rule marijuana is not fruits and vegetables (subsection (6)(b)(i)); * State the exemption for persons manufacturing dairy products does not apply to any marijua

FEEDING AND FATTENING CATTLE AND THE AGRICULTURAL PRODUCTS EXEMPTION- Information included in WAC 458-20-210 Cancelled effective-0/30/2003

SALE OF RAW PEAS BETWEEN FROZEN FOOD PROCESSORS NOT CONSIDERED AN ACCOMMODATION SALEETB 313.04.208.210 (Issued 1/20/67) Sale of raw peas between frozen food processors not considered an accommodation sale. This document is of limited value. It does not clarify the application of RCW 82.04.425 or WAC 458-20-208 (Accommodation sales). Cancelled by ETA 549 (Third Supplement) 6/30/98

Tax Changes for Manufacturing of Dairy Products

Livestock Nutrient Management Equipment Sales Tax Exemption Reinstated

Repair Parts and/or Services for Farm Machinery and Equipment - Sales and Use Tax Exemptions Form 40 2419 (6/18/07) Application; Form 40 2420a (6/18/07) Exemption Certificate.

The Tax Application for Tree and/or Stump Removal from Existing Orchards

Sales Tax Exemption to Reduce Agricultural Burning Expired 1/1/11

Fresh Fruit or Vegetable Manufacturers B&O Tax Exemptions

Dairy Product Manufacturers B&O Tax Deductions

Dairy Product Processors Receive B&O Tax Exemption

Fruit and Vegetable Processors May Qualify for B&O Tax Refund

Sales of Propane and Natural Gas to Mint Growers

Hazardous Substance Tax Exemption for agricultural crop protection products

Pesticides and the Hazardous Substance Tax

Tax Exemptions for Honey Beekeepers

Replacement Parts for Farm Machinery and Equipment - Sales and Use Tax Exemption

Tax on Equipment Used to Reduce Agricultural Burning

Legislative changes for honey beekeepers

Tax Incentives to Reduce Agricultural Burning

Livestock Nutrient Management - Tax Exemptions

Change to the Sales Tax Exemption for Livestock Nutrient Management

B&O Tax Reporting Requirement Continues After Business Activity Stops (Trailing Nexus)

Farm Fuel Users - Sales and Use Tax Exemption Update

Sales and Use Tax Exemption to Farmers and Veterinarians for Animal Pharmaceuticals

Repair Parts and/or Services for Farm Machinery and Equipment – Sales and Use Tax Exemptions Update

Wineries May Qualify for B&O Tax Refund - For tax periods beginning January 1, 2003, through June 30, 2005

New Apportionment Method

Legislative changes for anaerobic digester operators

Registered Out-of-state Businesses Currently not Reporting Income from Service Activities - New Apportionment for Certain Income

Dairy product manufacturers’ B&O tax deductions extended – Update on tax reporting requirements

Replacement Parts for Irrigation Systems and Water Wells

Tax Attorneys and CPAs New "Economic Nexus" in Washington State May Impact Your Clients

Tax Incentives to Reduce Agricultural Burning to Change

New "Economic Nexus" in Washington State May Impact "Foreign Corporations"

Farmers - Sample Letter to Revenue to Apply for Dairy Nutrient Sales and Use Tax Exemption

Services for Farmers - B&O and Public Utility Tax Exemption

Dairy Product Manufacturer's B&O tax exemption and preferential B&O tax rate expanded

Fresh Fruit/Vegetable, Seafood, and Dairy Product Manufacturers B&O Tax Exemptions Extended

Farm Fuel Users - Sales and Use Tax Exemption

Fresh Fruit or Vegetable Manufacturers B&O Tax Exemptions Extended – Change in Filing Requirements

Farmers - Implementation Plan for New Tax Exemptions and Assistance for Farmers

Livestock Nutrient Management Equipment Sales Tax Exemption Suspended

Dairy Nutrient Management Sales/Use Tax Exemption & Dairy Farmer Sample Application

Fruit and Vegetable Processors Tax Exemption - New E-file Requirement

Tax Exemptions for Honey Beekeepers

Farmworker Drinking Water

B&O TAX AGRICULTURAL EXEMPTION LIQUID EGGS.The production of liquid eggs is the creation of a new, different, and useful substance.Notwithstanding the fact that a farmer does not combine liquid eggs with anything, (s)he loses the agricultural B&O exemption because (s)he engages in a manufacturing activity.

AGRICULTURAL EXEMPTION LIQUID EGGS.The production of liquid eggs is the creation of a new, different, and useful substance.Notwithstanding the fact that a farmer does not combine liquid eggs with anything, (s)he loses the agricultural B&O exemption because (s)he engages in a manufacturing activity.

RETAIL SALES TAX LIQUID NITROGEN CHERRIES ASPARAGUS DECAY.Sales of liquid nitrogen applied directly on post-harvest cherries to prevent decay are not retail sales.Sales of liquid nitrogen applied in asimilar manner to asparagus are retail sales.

RETAIL SALES TAX M&E TAX EXEMPTION CONDITIONING OF SEED.An agricultural business is not entitled to a refund of sales tax it paid for the purchase, installation, and repair of machinery and equipment it uses to condition seed for planting because conditioning of seed for use in planting is not a manufacturing activity.

RETAIL SALES TAX EXEMPTION MACHINERY FIELD BURNING COMBINES MAJORITY USE TEST.To satisfy the majority use test for field burning equipment, a taxpayer must prove that a combine is used more time in a qualifying use (i.e., to reduce field burning) than in a nonqualifying use (i.e., to harvest wheat).Where a combine simultaneously performs different functions, one of which is arguably an exempt function (reducing field burning through processing straw) and one of which is not exempt, it is not used to reduce field burning more than half of the time and does not qualify for the retail sales ta

RETAIL SALES TAX MANUFACTURING MACHINERY AND EQUIPMENT (M&E) EXEMPTION MANUFACTURING OPERATION MANUFACTURING SITE -- PEA COMBINE MANUFACTURING VERSUS HARVESTING.Where pea combines are used in farmers fields to strip pea pods from vines and to de-pod peas, the pea combines are used in a harvesting activity, not a manufacturing activity.Although harvesting activities may change the form of products and enhance their value, this does not convert a harvesting activity to a manufacturing activity.Accordingly, the farmers fields do not qualify as manufacturing sites, and the combines are not

USE TAX EXEMPTION -- FERTILIZER & SPRAY MATERIALS -- BAILOR OF SEED -- FARMER PRESENT RIGHT OF POSSESSION PERMISSION TO ENTER LAND.A bailor of seed did not have the required possessory interest in land to be considered a farmer eligible for the RCW 82.04.050(8)(b) fertilizer and spray material exemption, even though the grower gave the bailor permission to enter the land in order to help grow the crop.

RCW 82.08.890: RETAIL SALES TAX EXEMPTIONS - DAIRY NUTRIENT MANAGEMENT EQUIPMENT.The taxpayer is ineligible for the exemption for the purchase of dairy nutrient management equipment in RCW 82.08.890 because it purchased the equipment in question prior to certification of its dairy nutrient management plan under chapter 90.64 RCW.

RULE 210 – RCW 82.08.0259 – SALES TAX – SALES OF LIVESTOCK – SALES OF DOGS. Dogs are not defined as “livestock” in RCW 16.36.005 and, as such, are not subject to the livestock sales tax exemption whether they are sold for breeding purposes or as pets.

RCW 82.08.855 82.12.855: RETAIL SALES AND USE TAX EXEMPTION -- REPLACEMENT PARTS, LABOR AND SERVICES -- QUALIFYING FARM MACHINERY AND EQUIPMENT USED “PRIMARILY” FOR GROWING, RAISING OR PRODUCING AGRICULTURAL PRODUCTS – FORKLIFTS. Replacement parts for forklifts used on a potato farm for various tasks were ineligible for exemption because they were not used primarily in growing, raising, or producing the potatoes.

RCW 82.08.855, RCW 82.12.855: RETAIL SALES AND USE TAX EXEMPTION – REPLACEMENT PARTS, LABOR AND SERVICES -- QUALIFYING FARM MACHINERY AND EQUIPMENT USED “PRIMARILY” FOR GROWING, RAISING OR PRODUCING AGRICULTURAL PRODUCTS – CLEANING SHED. Replacement parts for a cleaning shed used for cleaning, culling, sizing, and packing potatoes in boxes after their harvest were ineligible for exemption because the shed was not used primarily in growing, raising, or producing the potatoes.

B&O TAX -- EXEMPTION -- AGRICULTURE -- BURDEN OF PROOF. Persons growing agricultural products on land that they own or to which they have a present right of possession are not subject to B&O tax on their activities. Taxpayer claiming exemption from taxability based on status as a joint venturer-grower has the burden of submitting proof of joint venture status. Absent such proof, the law requires strict construction of statute in favor of application of the tax. Accord: Yakima Fruit Growers Ass'n. v. Henneford, 187 WA.252 (1936).