Sales Tax Breaks for GA Farmers

GEORGIA – This year, farmers will get some new tax breaks due to state lawmakers approving changes to give them additional sales tax exemptions. There is a trade-off, regular consumers will have to pay sales tax on some items that were tax-exempt in the past.
Regular customers began being taxed on January 1, 2012, for animal feed, seed and fertilizer.

Farmers who can prove they produce and sell more than $2,500 worth of agriculture products a year will receive the Georgia Agricultural Exemption (GATE). Additional tax incentives will also be given, for instance, no sales tax on diesel fuel, replacement parts for tractors and machinery, or electricity for things like irrigation systems.

Farmers have to apply for a GATE card through the Department of Agriculture in order to get the tax incentive. There is a fee of $20 per year.