HF 79

as introduced - 82nd Legislature (2001 - 2002) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to taxation; sales and use; providing that 
  1.3             machinery and equipment used in the production of 
  1.4             nursery stock are exempt as farm machinery; amending 
  1.5             Minnesota Statutes 2000, section 297A.61, subdivision 
  1.6             12.  
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Minnesota Statutes 2000, section 297A.61, 
  1.9   subdivision 12, is amended to read: 
  1.10     Subd. 12.  [FARM MACHINERY.] (a) "Farm machinery" means new 
  1.11  or used machinery, equipment, implements, accessories, and 
  1.12  contrivances used directly and principally in the production for 
  1.13  sale, but not including the processing, of livestock, dairy 
  1.14  animals, dairy products, poultry and poultry products, fruits, 
  1.15  vegetables, trees and shrubs, nursery stock, forage, grains, and 
  1.16  bees and apiary products.  
  1.17     (b) Farm machinery includes: 
  1.18     (1) machinery for the preparation, seeding, or cultivation 
  1.19  of soil for growing agricultural crops and sod, for the 
  1.20  harvesting and threshing of agricultural products, or for the 
  1.21  harvesting or mowing of sod; 
  1.22     (2) barn cleaners, milking systems, grain dryers, automatic 
  1.23  feeding systems, and similar installations, whether or not the 
  1.24  equipment is installed by the seller and becomes part of the 
  1.25  real property; 
  1.26     (3) irrigation equipment sold for exclusively agricultural 
  2.1   use, including pumps, pipe fittings, valves, sprinklers, and 
  2.2   other equipment necessary to the operation of an irrigation 
  2.3   system when sold as part of an irrigation system, whether or not 
  2.4   the equipment is installed by the seller and becomes part of the 
  2.5   real property; 
  2.6      (4) logging equipment, including chain saws used for 
  2.7   commercial logging; 
  2.8      (5) fencing used for the containment of farmed cervidae, as 
  2.9   defined in section 17.451, subdivision 2; 
  2.10     (6) primary and backup generator units used to generate 
  2.11  electricity for the purpose of operating farm machinery, as 
  2.12  defined in this subdivision, or providing light or space heating 
  2.13  necessary for the production of livestock, dairy animals, dairy 
  2.14  products, or poultry and poultry products; 
  2.15     (7) aquaculture production equipment as defined in 
  2.16  subdivision 13; and 
  2.17     (8) equipment used for maple syrup harvesting.  
  2.18     (c) Farm machinery does not include: 
  2.19     (1) repair or replacement parts; 
  2.20     (2) tools, shop equipment, grain bins, feed bunks, fencing 
  2.21  material except fencing material covered by paragraph (b), 
  2.22  clause (5), communication equipment, and other farm supplies; 
  2.23     (3) motor vehicles taxed under chapter 297B; 
  2.24     (4) snowmobiles or snow blowers; or 
  2.25     (5) lawn mowers except those used in the production of sod 
  2.26  for sale, or garden-type tractors or garden tillers. 
  2.27     [EFFECTIVE DATE.] This section is effective for sales and 
  2.28  purchases made after June 30, 2001.