Ag versus Wildlife exemption

[Jlblake]

Good morning -

The land I am buying has an ag exemption for goats that are raised on the land. I may or may not keep the goats so I'm considering transferring to a wildlife exemption. My question has to do with the benefits. My understanding is that for property tax valuation purposes, the two exemptions are identical. However, what about for sales tax exemption purposes? I know I don't have to pay tax for supplies and equipment under the ag exmption. Is the same true with the wildlife exemption?

Thanks!

 

[RNeumann]

Property tax and sales tax are local and state taxes......where are you at?

 

[Jlblake]

Marquez, Texas.

 

[AWSubie]

If you switch to wildlife management practices u will not be sales tax exempt.

When u complete the land purchase remember to submit ur application for ag exemption.

https://comptroller.texas.gov/forms/50-129.pdf

 

[Wood_Butcher_Dav]

Do you need live stock to qualify for the Ag exemption? Would a small plot of row crops, or hay qualify?

Dave

 

[drssg]

I would suggest talking to a tax accountant. I always thought sales tax exemptions were for people running an actual agricultural business.

I know the taxman can get touchy regarding equestrian businesses that chronically fail to show a profit. Some people just make up a "business" so they can write off hobby expenses.

 

[Jlblake]

Do you need live stock to qualify for the Ag exemption? Would a small plot of row crops, or hay qualify?

Dave

I have goats that I am going to try to keep. I just need to barter with someone in the area to help me keep an eye on them. I think I found someone already!

 

[Jlblake]

If you switch to wildlife management practices u will not be sales tax exempt.

When u complete the land purchase remember to submit ur application for ag exemption.

https://comptroller.texas.gov/forms/50-129.pdf

Thank you very much, that's what I was afraid of. I'll find a way to keep the goats.

 

[CobyRupert]

It likely varies from state to state, but read the fine print.
You may have to show an average gross sales of $xx to qualify for an ag exemption, among other qualifications (acreage, etc..).

In NY, having an ag exemption also has benefits when it comes to registering vehicles that don't require annual inspections (but are limited in use).

 

[Jlblake]

so there is a sales tax exemption and a property tax exemption evidently. Is there anything else? Thanks