Revisions to NC Agriculture Sales Tax Exemptions

NORTH CAROLINA – Recent revisions were made to the agriculture sales tax exemptions under House Bill 1050 that was passed by the General Assembly and signed by Gov. Pat McCrory.

Effective July 1, every farmer who has a current agriculture exemption certificate and has $10,000 or more in annual gross farm income in the past tax year or a three-year average of $10,000 or more in annual gross farm income MUST apply for a new qualifying farmer exemption certificate.

Farmers who do not qualify for the exemption certificate may obtain a conditional farmer exemption certificate. The conditional farmer exemption certificate is valid for three years.

In order to qualify, a farmer includes

• Dairy operator,
• Poultry farmer,
• Egg producer,
• Livestock farmer
• Farmer of crops, and
• Farmer of aquatic species.