No sales tax in Georgia?

[MFL]

Jello and Redlevel are correct. To claim tax exempt status you have to actively be trying to do something that generates income on your property. You need to sign a form saying so, and you have to file a sched F when you file your taxes. Having a garden doesn't count, either does keeping horses for personal use, having trees, having a chicken so you can have fresh eggs in the morning, etc. GA. doesn't consider you a farmer, they consider you a suburbanite with acreage. I think our tax guy told us that we have to claim (and prove) a gain or loss of at least $1500 while engaged in a activity the state considers ag. related. If your dealer is smart, he'll have you sign the form. If he doesn't, and he's ever audited, Jello is right, the fault (and fines) are on him. If he does give you the form to sign, read it. It's pretty specific about what the state considers legit use.

My wife gives riding lessons part-time and makes enough for us to just squeak under the legit use status. The good news it that GA. doesn't exactly have some huge squad of crack investigators out combing the countryside looking for non-farmers. The other point you can take comfort in is that what we typically spend on our gear is relatively peanuts, as far as the state is concerned. Why come after guys owning 2-3 K when they can fish for companies owing 200-300 K, or more.

 

[RollingsFarms]

I have a "farm tag" on my truck, so I guess the state of SC considers me a farmer. it's not my full-time job, and I dont make a profit every year, but every 10 years I make $$$ from my planted timber.

 

[DIRTROAD]

I live in SC but found a bushhog at a dealer in Lenoir, NC. I called them up and they said since I was from out of state they would have to charge sales tax. I'm sorry but I've never paid sales tax on farm equipment. I think they put the money in their pockets. I know of an ATV dealer that did this and got caught. He ended up having to pay everyone back that he had stolen from.

 

[N80]

I live in SC too. I was charged no sales tax on my tractor. But, I bought a disk recently, here in SC and I was charged sales tax. At the time, I completely forgot to ask if it was required. I wonder if there is a difference between implements and tractors? Or did the sales guy just forget to ask me if I was a farmer? (I've got planted pines so SC thinks I'm a farmer). Or do you think he just charges it if the customer doesn't claim to be a farmer. Or does he just pocket it? I don't know. Next implement I buy I'll ask.

 

[awaldrep]

I live in alabama but recently priced a couple of tractors in Georgia. Yhat dealer told me the sales tax was 7% but since I was buying out of state he could get around me having to pay it. He did insinuate however that it was not exactly legal and if it was caught it would be my responsibility to pay up.I wasnt willing to risk it and bought local where our tax on farm equipment is only 2.25%.

 

[DIRTROAD]

I have bought local here in SC and had to fill out some kind of tax form so I wouldn't get charged sales tax. That's been years ago and nothing ever came of it. The dealer told me that a finish mower wasn't considered farm equipment, but I disagreed since it is used to cut grass on a farm. That was the reason for filling out the form.