TZ compacts I have to pay tax on :-(

Robert_in_NY · Mar 5, 2004

I was talking to my dealer friend and since we need a new mower we decided to see what a new TZ sub compact would cost. My friend told us that if we bought the sub compact we would have to pay sales tax as it is considered a large lawnmower but if I bought a TC 18 I would not have to pay tax /forums/images/graemlins/confused.gif Looks like if I decide to add another compact tractor I will go with a TC and not a TZ.

Also, he told me that the TZ 24's are having problems when you rev them up they blow off their filter (don't remember if he said the oil or hydraulic). NH is holding on selling them till they get that fixed. Maybe Spencer 200 can clear this up for me as I don't remember it exactly.

Will_C · Mar 5, 2004

Robert; I don't claim to be any kind of a tax expert at all, but I think it would be worth your while to talk to your accountant about that. I assume that with the farming you do that you are ag exempt; I know farmers that have bought ATV's, etc. and have received the exemption. Maybe the laws have changed, or there is something I don't understand, but I know that I would check it out further. Good Luck,
Will

MikePA · Mar 5, 2004

The sales tax laws in PA are the same as Robert_in_NY describes. If the tractor is classified as a lawn mower, you pay sales tax, doesn't matter what your profession is. The dealer has to collect it.

Robert_in_NY · Mar 6, 2004

As Mike said, it all has to do with how the machine is classified. The TZ's are subcompacts which is considered a glorified lawn mower. The TC's are compacts which puts them into the small farm tractor range. One is tax exempt, the other isn't /forums/images/graemlins/frown.gif

Lazy · Mar 6, 2004

Hi
In Missouri you have to have income from farming for the tractor to be exempt from sales tax. you have to sign a form at the dealer stating that or you have to pay the tax.

Charlie

Inspector507 · Mar 6, 2004

Same in Ohio too........had to pay tax on my TC18

Robert_in_NY · Mar 7, 2004

Even here you have to pay tax on tractors for non farm use. But if you use it for the farm then it is tax exempt.

rambler · Mar 7, 2004

Minnesota is the same way - the state designates what is & is not exempt. For example an 8' 3pt snow blowe for the farm - you need to pay sales taxes on. Doesn't matter that you use it for farming. Your accountant will of course deduct it as a farming expense and it is from your income taxes, but for the sales tax portion there is no avoiding it. Dealer can't do anything but collect the taxes.

--->Paul