Agricultural Industry
Preface
Helping your business succeed is important to the California Department of Tax and Fee Administration (CDTFA).
We recognize that understanding the tax issues specific to the agricultural industry and to those who sell farm and
related supplies can be time-consuming and complicated, and we want to get you the information you need so you
can focus on growing your business.
To help you better understand the tax obligations specific to your industry, we have created this publication detailing
the tax issues and information vital to your industry. You can also refer to our Tax Guide for the Agricultural Industry on
our website. Also, please refer to our website or the For More Information section of this publication for the complete
list of regulations and publications.
We want to help you understand California’s Sales and Use Tax Law and regulations as they apply to the sale and
purchase of agriculture-related supplies, equipment, machinery, and diesel fuel. This publication discusses the sale
and purchase of food animals, feed, seeds, plants, rootstock, fertilizer, and liquefied petroleum gas (LPG) used on
farms and in residences. It also explains the various special sales and use tax exemptions that apply.
If you cannot find the information you are looking for in this publication, please visit our website or call the
Customer Service Center at 1-800-400-7115 (TTY:711). Customer service representatives are available to answer
your questions Monday through Friday between 7:30 a.m. and 5:00 p.m. (Pacific time), except state holidays.
This publication complements publication 73, Your California Seller’s Permit, which includes general information
about obtaining a permit, using a resale certificate, collecting and reporting sales and use taxes, buying, selling, or
discontinuing a business, and keeping records.
Special Taxes Policy and Compliance Division. Businesses that sell farm and related supplies often need to register
for other tax and fee programs, including fuel taxes, the California Tire Fee, and the Underground Storage Tank
Maintenance Fee. Please contact:
Special Taxes Program and Compliance Division, MIC:57
California Department of Tax and Fee Administration
PO Box 942879
Sacramento, CA 94279-0057
1-800-400-7115
We welcome your suggestions for improving this or any other publication. If you would like to comment, please
provide your comments or suggestions directly to:
Audit and Information Section, MIC:44
California Department of Tax and Fee Administration
PO Box 942879
Sacramento, CA 94279-0044
Please note: This publication summarizes the law and applicable regulations in effect when the publication was
written. However, changes in the law or in regulations may have occurred since that time. If there is a conflict
between the text in this publication and the law, the law is controlling.
Contents
Section Page
Animals, Feed, and Related Supplies 1
Farm and Garden Supplies 6
Liquefied Petroleum Gas (LPG) 8
Farm Equipment and Machinery 10
Diesel Fuel Used in Farming or Food Processing 18
Appendix A: Exemption Certificates 23
Appendix B: Vehicles Considered
Farm Equipment and Machinery 24
Appendix C: Standard Industrial Classification (SIC) Codes 25
For More Information 29
MARCH 2024
|
AGRICULTURAL INDUSTRY
Animals, Feed, and Related Supplies
A retailer is responsible for paying sales tax on sales of animal-related products such as tack, cages, and pet supplies.
However, some sales of animals and supplies may not be taxable. This section discusses how tax applies to retail sales of
animals, feed, veterinary drugs, bedding, and litter.
Getting started: Permits with CDTFA
Retailers in California who sell or lease tangible personal property are generally required to register with us for a seller’s
permit. You may also be required to register for other permits, licenses, or accounts depending on your sales activity.
You can find information on how to get started in the Tax Guide for Agricultural Industry on our website.
Some feed sellers do not need seller’s permits
Feed sellers do not need to hold a seller’s permit or pay sales tax if the only product they sell is feed for any of the
following:
• Food animals.
• Nonfood animals that are to be sold in the owner’s business operations.
• Breeding animals and their offspring are both being held for resale in the owner’s business operations.
Hay growers fall in this category provided they either:
• Produce hay for sale only to beef cattle feedlots or dairies.
• Sell hay exclusively through a farmer-owned cooperative.
Food animals
Tax does not apply to your purchases or retail sales of food animals. Food animals are considered to be animals,
birds, or insects commonly used in producing food, such as meat products, fish or seafood, dairy products, eggs,
and honey.
Food animals include, but are not limited to:
• Cattle • Swine
• Game birds • Pigeons
• Chickens • Turkeys
• Sheep • Rabbits
• Bees • Ostriches and emus
• Fish and shellfish
Please note: In addition to the food animal definitions in the Sales and Use Tax Law, certain animals identified by
the California Department of Food and Agriculture (CDFA) are automatically considered food animals. The animals
must be identified as livestock or poultry intended for human consumption in the CDFA regulations adopted
under sections 18848 and 25408 of the California Food and Agricultural Code. For information regarding those
classifications, call the CDFA at 1-916-654-0466 (TTY:711) or visit the CDFA website at www.cdfa.ca.gov.
Nonfood animals
Sales tax generally applies to your purchases or retail sales of animals, birds, reptiles, and insects that do not meet
the definition of food animals, whether they are used for working stock, breeding, as pets, or for other purposes.
AGRICULTURAL INDUSTRY
|
MARCH 2024
Nonfood animals include:
• Dogs and cats • Horses
• Tropical fish • Pet birds
• Snakes • Monkeys
• Earthworms • Chinchillas and mink
• Beneficial insects, • Rodents: Guinea pigs, rats, hamsters,
such as ladybugs and mice
Feed sales may be taxable
Feed sold for nonfood animals is generally taxable. Tax does not apply to sales of feed for food animals.
(See Food animals.) As a retailer, you should itemize all invoices that include taxable and nontaxable sales.
Feed dened
Feed includes grain, hay, seed, kibble, and similar products. Feed also includes items with nutrient value, such as:
• Cod liver oil • Calcium carbonate
• Salt • Double-purpose limestone granulars
• Bone meal • Oyster shell
Sales of items not considered feed are taxable
Although the following non-nutrient items may be fed to animals, they are not considered feed. Generally, sales of
these items are taxable:
• Sand • Sulfur
• Charcoal • Medicines (see Drugs and medicines)
• Granite grit
Feed for nonfood animals
Tax generally applies to sales of feed for nonfood animals unless the feed is sold for either of the following purposes:
• To feed animals that will be sold in the purchaser’s business operations.
• To feed breeding animals whose offspring will be sold in the purchaser’s business operations.
Examples include kibble sales to pet stores that feed puppies they will sell and bone meal sales to bird breeders
who will sell their birds’ chicks.
People who raise earthworms and beneficial insects can buy feed for them without paying sales tax provided they
give the retailer a feed exemption certificate.
It is important to obtain a feed exemption certificate from the purchaser for these types of nontaxable feed sales;
otherwise, the retailer must pay tax on the sale.
(See Appendix A: Exemption Certificates.)
For information on feed sales to boarding and training facilities. (See
Sales of feed and other items to boarding and training facilities.)
Exemption certicates
Some feed, like alfalfa, can be used for either food or nonfood animals.
When selling feed of this type for consumption by food animals, it is
important to obtain a feed exemption certificate from the buyer. This can
be done in advance or at the time a purchase is made. A sample certificate
is provided in this publication. (See Appendix A: Exemption Certificates.)
MARCH 2024
|
AGRICULTURAL INDUSTRY
Exemption certificate alternatives.
Instead of keeping separate exemption certificates on file, you may incorporate the information required for a feed
exemption certificate on your actual invoices. (See Regulation 1587, Animal Life, Feed, Drugs and Medicines.) The
information may be preprinted directly on the invoice or added with a rubber stamp, as needed. In either case, the
buyer should complete the required information at the time of the sale rather than filing a separate form.
If a separate certificate is used, it is important to include on the invoice or receipt the name and address of the
buyer as listed on the exemption certificate on file.
Exceptions: It is not necessary to obtain exemption certificates for the nontaxable sale of any of the following:
• Feed ordinarily used only in the production of meat, dairy, or poultry products used as food.
• Two or fewer standard sacks of grain, four or fewer bales of hay (for use as feed), or both.
• Feed bearing a manufacturer’s label indicating that it is intended for food animals.
Drugs and medicines
Drugs and medicines are products intended to prevent or control disease in animals. This includes all livestock
drugs approved by the U.S. Food and Drug Administration that are defined and registered in compliance with
sections 14206, 14281, and 14292 of the California Food and Agricultural Code. Drugs and medicines include, but
are not limited to:
• Legend drugs • Ointments
• Pills and capsules • Intravenous fluids
• Liquid medications • Medicated soaps
• Injected drugs, including vaccines
In addition, vitamins and insecticides labeled for livestock, including poultry, are considered drugs and medicines
when administered directly to the animals or in their feed or water. (See the Drug or Medicine Administered table.)
Under certain circumstances, oxygen is also considered a drug or medicine. (See Oxygen.)
Generally, sales of drugs or medicines are taxable when the drugs or medicines are administered directly to
nonfood animals. (See Drug or Medicine Administered table.)
Certain sales of drugs and medicines may not be taxable
Under certain circumstances, tax does not apply to a retailer’s sale, or a buyer’s purchase or use of drugs or
medicines that will be administered to animals. The product must be intended for the prevention or control of
disease in any of the following:
• Food animals. (See Food animals.)
• Animals to be sold as part of business operations (see Please note below).
• Breeding animals whose offspring will be sold as part of business operations (see Please note below).
Please note: For nonfood animals, the drug or medicine must be intended for administration as an additive to the
animals’ food or water. The following table summarizes how tax applies to transactions involving drugs and medicines.
AGRICULTURAL INDUSTRY
|
MARCH 2024
Applying tax to transactions involving animal drugs and medicines (not including oxygen)
Drug or Medicine Administered
Type of Animal
In Feed or Water Directly
1
Food animal Nontaxable Nontaxable
Nonfood animal (if it
or its offspring will be
sold in the regular
course of business) Nontaxable Taxable
Other nonfood animal Taxable Taxable
1
Oral, hypodermic (including injections), external, or topical application, implants, drenches, repellents, and pour-ons.
Oxygen
Tax does not apply to the sale or use of oxygen administered to food animals for human consumption (food that
people eat) primarily to prevent or control disease. This includes oxygen injected into ponds or tanks that house or
hold aquatic species raised, kept, or used as food. For example, oxygen injected into trout farm ponds. However, tax
does apply to the sale or use of oxygen administered to nonfood animals, even if the animals are being held for sale
by a business. For example, oxygen pumped into tropical fish tanks at a pet store.
Supporting documentation
When a retailer makes a nontaxable sale of a drug, medicine, or oxygen, the sale should be supported by a drug
exemption certificate completed by the purchaser. (See Appendix A: Exemption Certificates.)
This can be completed in advance or at the time a purchase is made. It is important to include on the invoice or
receipt the name and address of the buyer as listed on the exemption certificate on file.
Instead of keeping separate exemption certificates on file, you may incorporate the information that is required for
a drug exemption certificate on your actual invoices. The information may be preprinted directly on the invoice or
added with a rubber stamp as needed. In either case, the buyer should complete the required information at the
time of the sale rather than filing a separate form.
Sales to veterinarians
Veterinarians are considered retailers of products in some instances and end users (consumers) in others.
Veterinarians may give retailers a resale certificate when buying products they will sell at retail. But when
veterinarians purchase items they will consume in their practice, those sales are generally taxable. Veterinarians
may also provide a drug or feed exemption certificate for purchases of feed or drugs that will be used in a
nontaxable manner, as previously described. Items used primarily or exclusively in assisting qualified persons (such
as ranchers who operate businesses described in SIC Codes 0111 to 0291—see Qualified Persons) may be exempt
from the state general and fiscal recovery funds portion of the sales and use tax, currently 5.00 percent.
MARCH 2024
|
AGRICULTURAL INDUSTRY
These items include:
• Equipment and machinery. (See Farm Equipment and Machinery.)
• Certain supplies. (See Farm Equipment and Machinery.)
• Feed. (See Feed sales may be taxable.)
• Liquefied petroleum gas (LPG). (See Agricultural use of LPG.)
To receive the partial exemption when purchasing items that qualify, veterinarians must provide a specific partial
exemption certificate, to retailers. (See Appendix A: Exemption Certificates.)
Please note: The rate for the state general and fiscal recovery funds portion of the sales tax has been lower in the
past and may change again after the date of this publication. You must use the rate in effect at the time your
sale occurs. Information on tax rate changes or the current rate in effect is available on our website or from our
Customer Service Center.
Bedding and litter
Tax applies to sales of most animal bedding and litter. However, some retail sales of bedding and litter may be fully
or partially exempt from tax. Tax does not apply to the sale, use, or storage of wood shavings, sawdust, rice hulls,
or other products used as litter for poultry or egg production and ultimately resold or incorporated into fertilizer
products. In addition, a sale of bedding or litter to a rancher or farmer may be exempt from the state general and
fiscal recovery funds portion of the sales tax, currently 5.00 percent. (See Farm Equipment and Machinery.)
Please note: For information on sales of fertilizer, including animal bedding mixed with manure. (See
Farm and Garden Supplies.)
Sales of feed and other items to boarding and training facilities
General rules for applying tax to sales of feed and other items to boarding or training facilities are described below.
Please note: Sales of equipment and machinery to a training or boarding facility that boards animals owned by ranchers
and farmers may qualify for the partial tax exemption described in Farm Equipment and Machinery.
Facilities that charge a at fee
Tax generally applies to sales of feed, grains, hay, or other merchandise to a training or boarding facility that charges
customers a flat fee. The facility is considered to be the consumer of the feed and other taxable items included in
its periodic charge rather than the retailer of those items. Consequently, the facility cannot issue a resale certificate
when purchasing those items.
Example: An equestrian center charges customers a flat fee of $500 a month for boarding a horse, which
includes a stall, pasture access, feed, stall cleaning, and access to the center’s facilities. The center is
considered to be the consumer of feed and stall bedding it purchases because it does not invoice customers
separately for those items. Sales of feed and bedding to the equestrian centers are subject to tax.
Exception: The facility’s purchases of feed for the following animals it boards are not taxable: food animals, animals
that will be sold in the animal owner’s business operations, and breeding animals whose offspring will be sold in
the breeder’s business operations.
Facilities that itemize charges for taxable sales of merchandise
A boarding or training facility is considered the retailer of feed or other taxable merchandise it itemizes on customer
invoices. As a retailer, you may issue a resale certificate when making purchases of items you will resell.
Example: A horse training ranch charges its customers $300 a month for facility use and training services. In
addition, it charges each customer an itemized amount each month for feed. The ranch is considered the
retailer of feed sold in this manner and must pay sales tax on those sales. The ranch’s feed suppliers would not
be required to pay tax on feed sales to the ranch, provided they obtain a valid resale certificate.
AGRICULTURAL INDUSTRY
|
MARCH 2024
Farm and Garden Supplies
As a retailer, you are responsible for paying tax on sales of many items used for ranching, farming, and gardening.
However, sales of certain ranch, farm, and garden supplies such as seeds, fertilizer, and plants or plant stock may not
be taxable. This section describes how you should apply tax to sales of these items, as well as to sales of items such as
soil amendments, pesticides, and beneficial insects. More information is available in Regulation 1588, Seeds, Plants,
and Fertilizer.
Seed
Retail seed sales are generally taxable. However, tax does not apply when:
• The seeds, or the products grown from them, will be used as food for human consumption or as feed for food
animals. (See
Feed sales may be taxable.) Examples include vegetable seeds and seeds used to grow grain or
pasture grasses for cattle.
• The buyer will resell the seeds or the products grown from them, in the regular course of the buyer’s business.
Plants, rootlings, rootings, and rootstock
Sales of ornamental and landscaping plants, rootlings, rootings, and rootstock are generally taxable. However, tax
does not apply to the sale if the plants will produce either of the following:
• Food such as vegetables, fruits (including grapes), grains, edible seeds or berries, olives, or nuts.
• Products the purchaser will resell, such as flowers.
If a customer is purchasing a nonfood plant and intends to resell the plant or its products, the customer should give
you a completed resale certificate for the plant (for example, a florist purchasing poinsettias). For more information
on sales for resale, see publication 103, Sales for Resale.
Fertilizer
The term fertilizer, includes all of the following:
• Commercial fertilizers (as defined in section 14522 of the California Food and Agricultural Code).
• Agricultural minerals (as defined in section 14512 of the California Food and Agricultural Code).
• Cover crops that will be planted on the land and plowed under to fertilize that land.
• Carbon dioxide.
• Manure. Manure is considered to be:
1. Waste from any domestic animal or fowl that is not artificially mixed with any material.
2. Domestic animal or fowl waste mixed only with materials used for preservation of the manure, or with
materials used for bedding, sanitary, or feeding purposes for the animal or fowl.
Fertilizer sales
Tax does not apply to the sale of fertilizer to be applied to land; or in foliar application to plants, provided the land is
used to produce any of the following:
• Food.
• Feed for food animals, including pasture grasses.
• Products to be sold by the purchaser.
Other retail fertilizer sales are taxable.
If you sell a combination insecticide/fertilizer, the portion of the total sales price representing the price of the
fertilizer is not taxable if the fertilizer is used as described above.
MARCH 2024
|
AGRICULTURAL INDUSTRY
Documenting nontaxable fertilizer sales
You should obtain a written statement from a purchaser who buys fertilizer for a nontaxable use. The statement
must include all of the following:
• Date.
• Name, signature, and address of buyer or buyer’s authorized representative.
• The purchaser’s seller’s permit number or a notation that a permit is not required.
• Description of fertilizer purchased. For example, one ton soft rock phosphate.
• Statement describing how the fertilizer will be used that clearly indicates why its purchase should not be
taxable. For example, phosphate will be applied to land used for growing tomatoes.
Invoices for nontaxable fertilizer sales should include the name of the purchaser as shown on the statement.
Packaged soil amendments
Tax applies to the sale of the following materials:
• Packaged soil amendments, as defined in the California Food and Agricultural Code section 14552. Although
listed as packaged soil amendments in the code section noted above, manures sold without guarantees for
plant nutrients qualify as fertilizers for sales and use tax purposes.
• Auxiliary soil and plant substances, as defined in the California Food and Agricultural Code section 14513.
• Carbon dioxide is not an auxiliary soil and plant substance as that term is defined in section 14513 of the Food
and Agricultural Code.
Pesticides and insecticides
Sales of pesticides and insecticides are taxable. However, when those materials are mixed with fertilizer, the portion
of the sales price representing the price of the fertilizer is not taxable if the fertilizer is used in a tax-exempt manner.
(See Fertilizer sales.)
Earthworms and benecial insects
Tax generally applies to sales of earthworms and beneficial insects such as parasitic wasps and ladybugs. However,
people who raise such organisms can buy feed for them without paying sales tax, provided they give the retailer a
feed exemption certificate. (See Animal Life, Feed, Drugs and Medicines Exemption Certificate.)
AGRICULTURAL INDUSTRY
|
MARCH 2024
Liquefied Petroleum Gas (LPG)
Certain sales and purchases of liquefied petroleum gas (LPG) are exempt from sales and use tax, as explained in this
section. For more information, see Regulation 1533, Liquefied Petroleum Gas.
LPG exemption, in general
The sale of LPG is exempt from sales and use tax when the LPG is delivered directly into a tank that holds 30 gallons
or more and the LPG is sold for use in either of these activities:
• Household use in a primary residence not connected to gas pipes or mains.
• Certain uses in the commercial production or harvesting of agricultural or horticultural products.
Both exemptions are explained in more detail below.
Household use of LPG
Household use of LPG includes cooking, heating, water
heating, and lighting. The use must occur in a person’s
primary residence, defined as the home where the person
lives for the majority of a calendar year. Primary residences
include all of the following:
• Houses.
• Apartments, condominiums, and townhouses.
• Mobilehomes.
• Farmworker housing.
However, primary residences do not include dwellings used
for vacations or other temporary stays, offices, warehouses,
and other places of business, and workshops.
The exemption applies to sales of LPG the seller delivers into
individual home LPG tanks or central tanks that provide fuel
to community, ranch, or employee housing. This exemption
applies to central tanks, provided the fuel is delivered only
to qualifying primary residences and not to one qualified
person or others who are not qualified.
Exemption certicate
To obtain the exemption, the LPG buyer should provide the LPG retailer with a completed, timely exemption
certificate. Anyone who owns, rents, or manages a primary residence may make the purchase and file the certificate.
For more information on exemption certificates and filing requirements. (See Appendix A: Exemption Certificate.)
Agricultural use of LPG
Sales of LPG for agricultural use are exempt from sales and use tax when a qualified buyer purchases the LPG for
commercial crop or livestock production or harvesting, as explained below.
Commercial crop or livestock production or harvesting
The LPG exemption applies only if the LPG is used in commercial crop or livestock production or harvesting. Examples
include using LPG to fuel a tractor or a forklift in the field, run a pump or wind machine, warm livestock in a barn, or
plants in a greenhouse.
Nonagricultural uses of LPG, such as using LPG to run a vehicle for personal transportation—even on a ranch or
farm—do not qualify for the exemption.
MARCH 2024
|
AGRICULTURAL INDUSTRY
Qualied buyers
The LPG exemption applies only if the LPG is purchased by a qualified buyer—people whose businesses fall within
certain Standard Industrial Classification (SIC) Codes. Qualified buyers include:
• Ranchers, farmers, and other growers who operate a business described in SIC Codes 0111 to 0291. These codes
cover most agricultural businesses, but do not include timber production.
• A person or employee who assists a qualified rancher, farmer, or other grower, as defined above, by performing
a service described in SIC Codes 0711 to 0783. Examples include soil preparation, crop harvesting, crop market
preparation, veterinary services, and farm labor and management.
For a full list of applicable SIC Codes, see Appendix C: Standard Industrial Classification (SIC) Codes.
Buyers who do not qualify for the LPG exemption
The following buyers do not qualify for the LPG exemption:
• Food processors.
• People who grow crops or raise livestock for their own use or other noncommercial purposes.
• People involved in timber production and harvesting, including related tree farming and Christmas tree
farming.
• People and businesses that provide accounting, marketing, legal, consulting, and similar administrative services
to a rancher, farmer, or grower.
• Repairers of farm equipment and machinery.
• Construction contractors.
Exemption certicate
To obtain the LPG exemption for agricultural use, the qualified buyer should give the LPG retailer a complete,
timely exemption certificate. For more information on exemption certificates and filing requirements.
(See Appendix A: Exemption Certificates.)
AGRICULTURAL INDUSTRY
|
MARCH 2024
In general, the sale of farm equipment and machinery is taxable. However, certain sales and purchases of farm equipment
and machinery are partially exempt from sales and use tax, as explained in this section. For more information, see
Regulation 1533.1, Farm Equipment and Machinery.
Calculating tax when the partial exemption applies
The partial tax exemption for certain sales and purchases of farm equipment and machinery applies only to
the state general and fiscal recovery funds portion of the sales tax, currently 5.00 percent. (See Please note,
below.) To calculate the tax rate for a qualifying transaction, subtract 5.00 percent from the sales tax rate that
would apply if the sale were fully taxable. For example, if the full tax rate that applies to a taxable sale is 8.25
percent, the tax rate for a qualifying sale is 3.25 percent (8.25 percent – 5.00 percent = 3.25 percent).
Please note: The rate for the state general and fiscal recovery funds portion of the sales tax has changed in the
past and may change again after the date of this publication. You must use the rate in effect at the time your
sale occurs. Information on tax rate changes and current tax rates is available at www.cdtfa.ca.gov or from our
Customer Service Center at 1-800-400-7115 (TTY:711).
Partial tax exemption basic requirements
The partial tax exemption applies to a sale or purchase only if the farm equipment and machinery meets three
conditions defined in Regulation 1533.1. The item must be:
• Sold to a qualified person.
• Used primarily or exclusively in producing and harvesting agricultural products.
• Defined as farm equipment and machinery.
If any one of the conditions is not met, the partial tax exemption does not apply.
The following sections describe qualified persons, covered agricultural production and harvesting activities, and
covered farm equipment and machinery.
Qualied persons
The following buyers, whose businesses fall within
specified SIC Codes, qualify for the partial tax exemption:
• Ranchers, farmers, and other growers who operate
businesses described in SIC Codes 0111 to 0291.
These codes cover most agricultural businesses, but
do not include timber production.
• A person or employee who assists a qualified rancher,
farmer, or grower, as defined above, by performing
a service described in SIC Codes 0711 to 0783.
Examples include soil preparation, crop harvesting,
crop market preparation, veterinary services, and
farm labor and management.
For a full list of applicable SIC Codes, see
Appendix C: Standard Industrial Classification (SIC) Codes.
Farm Equipment and Machinery
MARCH 2024
|
AGRICULTURAL INDUSTRY
Buyers who do not qualify for the exemption
The following buyers do not qualify for the partial exemption:
• People who grow crops or raise animals for their own use or for other noncommercial purposes.
• People involved in timber harvesting and production, including tree farming and Christmas tree farming.
• Food processors.
• People and businesses that provide accounting, marketing, legal, consulting, and similar administrative services
to a rancher, farmer, or grower.
• Repairers of farm equipment and machinery.
• Construction contractors.
Agricultural production and harvesting
Denition
The following activities are generally considered commercial agricultural production and harvesting for purposes of
the partial tax exemption:
• Producing and harvesting crops, plants, vines, trees (except in forestry operations), sod, mushrooms, bulbs,
flower seeds, vegetable seeds, and field crop seeds.
• Keeping, grazing, or feeding livestock for breeding, for increasing the livestock’s value, or for the sale of the
livestock or livestock products (including serums). Livestock includes cattle, hogs, sheep, goats, and poultry of
all kinds, horses, rabbits, bees, pets, fish in captivity, and furbearing animals in captivity.
• Performing the following services for qualified persons on a contract or fee basis: soil preparation services, crop
services (such as planting, chemical application, and harvesting), veterinary services, other animal services, farm
labor and management services, and landscape and horticultural services.
Activities not considered agricultural production and harvesting
Post-harvest activities of the types described in SIC Code Major Group 20 are generally not considered production
and harvesting for purposes of the special tax exemption. These include manufacturing or processing:
• Meat and dairy products.
• Foods and beverages, including wine.
• Vegetable and animal fats and oils.
• Prepared animal and bird feed.
Percentage of use required
The partial exemption applies only when the item purchased will be used primarily or exclusively in agricultural
production or harvesting, as defined. The amount of use required depends on the type of equipment:
• Farm equipment other than vehicles regulated by the California Vehicle Code must be used primarily (50 percent
or more of the time) in commercial agricultural production and harvesting. For a list of the general types of
equipment that qualify for the exemption. (See Farm equipment and machinery, defined.)
• Vehicles regulated by the California Vehicle Code must be used exclusively—100 percent of the time—in
commercial agricultural production or harvesting. Please note that pickup trucks, heavy duty trucks, tractor
trucks, and other vehicles designed primarily for the transportation of persons or property on a highway
generally do not qualify for the partial tax exemption. For more information on vehicles, see Vehicles and
Appendix B: Vehicles Considered Farm Equipment and Machinery.
AGRICULTURAL INDUSTRY
|
MARCH 2024
Farm equipment and machinery, dened
Items not considered farm equipment and machinery
The following items are not farm equipment and machinery for purposes of the partial tax exemption. Their sales
are generally taxable at the full tax rate of your business location.
• Items used primarily in administration, management, or marketing.
• Supply items not used in producing or harvesting agricultural products, such as shop towels, cleaning agents,
hand cleaners, and chemicals.
• Clothing, unless designed to protect the agricultural product or people who apply agricultural chemicals.
Items considered farm equipment and machinery
In general, farm equipment and machinery includes, but is not limited to:
• Field production equipment such as disks, harrows, land planes, cultivators, fertilizer and chemical applicators,
hand tools such as shovels and hoes, and similar equipment.
• Irrigation equipment such as sprinkler pipe, drip systems, sprinkler or spray heads, siphons, pumps, and
pressure tanks. Well casing and pipes that become part of real property may also qualify, provided they are sold
to a qualified person prior to installation. (See the discussion of materials and fixtures, below.)
• Harvesting equipment such as combines, swathers, and balers; harvest containers such as bins, trays, lugs,
and gondolas; hand harvesting tools such as knives and shears; packing equipment such as sorters, conveyors,
boxers, and coolers; and cleaning equipment such as cotton gins, shellers, and dehullers.
• Repair or replacement parts for qualified equipment. This includes parts intended to modify the equipment,
such as grease, oil or other lubricants, coolants, and other fluids that are not used up in normal equipment
operation. Fuel additives do not qualify.
• Computers and software used to operate, regulate, or control agricultural equipment.
• Plant-support equipment such as trellises, props for limbs, twine, and tree stakes.
• Livestock-handling equipment such as fences, corrals, loading chutes, squeeze chutes, portable panels, tack,
rope, free stalls, and cages.
• Dairy equipment such as milking stalls, milking machines, piping, cooling tanks, and sanitation equipment.
• Poultry and egg production equipment such as feeding, watering and waste systems, fans, cages, and egg
conveyors.
• Equipment used temporarily to alter the growing environment for crops such as wind machines, row covers,
cloches, hoop houses, hot caps, portable cold frames, or shade structures.
• Certain materials and fixtures installed on real property when sold to a qualified person prior to
installation. This can include pipe, casing, and drilling supplies used to install agricultural wells; posts and
wire for fencing or trellises; and underground water or drainage pipe for irrigation or waste systems. It can also
include building materials sold for constructing or repairing certain buildings for raising livestock or plants. See
the following discussion on the next page.
• Solar power facilities may qualify as farm equipment and machinery. A solar facility directly attached to and
providing power to qualifying farm equipment and machinery may qualify as farm equipment and machinery.
If the solar facility is not directly attached to the qualifying farm equipment and machinery, it may qualify,
provided it is specifically designed to provide power to qualifying equipment and machinery. The partial
exemption would apply even if the electricity generated first goes to the electrical grid before being used in
qualified agricultural activities.
MARCH 2024
|
AGRICULTURAL INDUSTRY
Buildings for raising livestock and plants
Certain buildings are considered farm equipment for purposes of the partial tax exemption. They must be single-
purpose agricultural or horticultural structures. A single-purpose agricultural structure is used for raising certain
livestock. A single-purpose horticultural structure is for raising plants.
Multiple-use buildings or buildings designed for a purpose other than raising livestock or plants are not considered
farm equipment for purposes of the partial tax exemption. For example, the partial exemption does not apply to
sales or purchases of materials or fixtures for a storage building, machine or repair shop, or utility or pole barn.
Livestock buildings
To qualify as farm equipment, a livestock building must be:
• Designed for breeding and raising livestock.
• Used exclusively for those purposes.
• Contain equipment needed to contain, raise, and
feed livestock or their young. (Raising includes egg
production and milk harvesting.)
Buildings and materials used for livestock building construction and repair do not qualify as farm equipment when
the buildings are:
• Designed for raising and breeding horses, for example, stables and barns.
• Used for storing feed or machinery unless that use is only incidental.
• Designed for a particular type of livestock but used for a different type of livestock (for example, a poultry barn
converted to a pig barn).
• Intended solely for sheltering livestock (for example, shade barns).
Horticultural buildings
To qualify as farm equipment, a horticultural building must be:
• Specifically designed for commercially raising plants or mushrooms, and
• Used exclusively for a permitted purpose.
Examples include greenhouses and flower production facilities.
Such a building may also house equipment needed to raise the plants or mushrooms. The building may be used
only incidentally for nonproduction activities. For example, a farmer may use a part of a greenhouse for packing
tomatoes raised in it. However, if the farmer uses the greenhouse as a sales room for the tomatoes, it does not
qualify for the partial exemption.
AGRICULTURAL INDUSTRY
|
MARCH 2024
Vehicles
In general, a vehicle must meet two conditions to be considered farm equipment and machinery. It must be:
• Designated as an implement of husbandry by the California Vehicle Code. (See Other qualifying vehicles below.)
• Used exclusively in agricultural operations.
An implement of husbandry—a farm tractor, for example, is a vehicle used only for agricultural purposes that is not
designed to transport people or property on a street or highway. However, the Vehicle Code specifically designates
certain farm vehicles as implements of husbandry even though they may be designed for limited highway use. Examples
include certain trailers, rigs, and wagons. (See list in Appendix B: Vehicles Considered Farm Equipment and Machinery.)
To determine whether vehicles designed for use on roads and highways qualify as implements of husbandry, the
vehicle dealer or purchaser should contact the Department of Motor Vehicles.
Please note: Pickup trucks, heavy-duty trucks, and tractor trucks are not classified as implements of husbandry under
the Vehicle Code and generally do not qualify for the partial tax exemption.
Other qualifying vehicles
Agricultural aircraft, all-terrain vehicles, snowmobiles, off-highway vehicles (OHVs), bale wagons, and cotton
module movers may also qualify as farm equipment. The partial exemption applies when they are purchased by a
qualified buyer and used exclusively in agricultural operations.
For information on documentation required for a partially exempt vehicle sale or purchase.
(See Vehicles purchased under the partial exemption.)
Leases of farm equipment and machinery
Partial tax exemption requirements
The partial tax exemption applies to leases of farm equipment and machinery provided all four of these
conditions apply:
• The lease payments are taxable.
• The lessee is a qualified person. (See Qualified persons.)
• The lessee uses the equipment in agricultural production and harvesting. (See Agricultural production and harvesting.)
• The equipment qualifies as farm equipment or machinery. (See Farm equipment and machinery, defined.)
Please note: The partial tax exemption does not apply to leases of mobile transportation equipment. (See Mobile
transportation equipment below.)
Lessors may purchase farm equipment and machinery for resale and collect tax on the amounts they charge
lessees. The partial exemption applies to those amounts if the lease meets the four conditions listed above. The
lessee should provide the lessor with a timely and complete partial exemption certificate to obtain the partial
exemption. (See Partial exemption certificate.)
Mobile transportation equipment
Mobile transportation equipment (MTE) is equipment used to transport people or property over substantial
distances, such as locomotives, railroad cars, and trucks, including pickup trucks. In general, leases of MTE do not
qualify for the partial exemption.
For more information about leases, see Regulation 1660, Leases of Tangible Personal Property—in General;
Regulation 1661, Leases of Mobile Transportation Equipment; and publication 46, Leasing Tangible Personal Property.
Please refer to our website or call our Customer Service Center at 1-800-400-7115 (TTY:711) for more information
about a specific leasing situation.
MARCH 2024
|
AGRICULTURAL INDUSTRY 15
Obtaining a partial exemption
Partial exemption certicate
To obtain the partial exemption on a purchase or lease of qualified property, the buyer should provide the retailer
with a timely, complete partial exemption certificate. For more information on exemption certificates, see
Appendix A: Exemption Certificates. If the retailer was located in another state and didn’t have a California
seller’s permit, the buyer must submit the exemption certificate and nonexempt portion of the tax with the
buyer’s sales or use tax return or state income tax return. (See next section.)
Purchases from out-of-state retailers
In general, California use tax applies to purchases of ranch and farm equipment and machinery from retailers
outside California if the item is purchased for use here. The partial tax exemption applies to qualifying purchases
from out-of-state retailers.
If the out-of-state retailer does not collect California sales or use tax from the buyer, the buyer must pay the
nonexempt portion of the tax to us.
How do I pay the California use tax?
• California seller’s permit
If you have a seller’s permit, you must pay use tax when filing your sales and use tax return. You must enter the
amount of your purchase(s) under Purchases subject to use tax on the sales and use tax return for the period that
includes the date when you first used, stored, or consumed the item in California. When you receive your seller’s
permit, we will instruct you to file your return either on a quarterly or quarterly prepay basis. Your tax return and
payment are due after the close of each reporting period. For example, if you are on a quarterly reporting basis,
the reporting period for the first quarter closes on March 31. Your tax return and payment are due on April 30,
the last day of the following month.
• Required registration to report use tax—How to register and file a return
A “qualified purchaser” must register with us and annually report and pay use tax directly to us, according to
Revenue and Taxation Code section 6225. If you are not required to hold a seller’s permit and are not currently
registered with us for use tax purposes, you may be required to register as a “qualified purchaser.”
Prior to January 1, 2024, a “qualified purchaser” was a person that received at least $100,000 in gross receipts from
their business operations per year and was not otherwise required to be registered with us. A “qualified purchaser”
is required to register with us and report and pay use tax due on purchases made from out-of-state retailers.
Beginning January 1, 2024, the definition of a “qualified purchaser” was revised* to eliminate the requirement
that the person receives at least $100,000 in gross receipts per calendar year from business operations. It instead
requires that the person makes more than $10,000 in purchases subject to use tax (excluding vehicles, vessels,
or aircraft) per calendar year if the use tax imposed on those purchases has not otherwise been paid to a retailer
engaged in business in this state or authorized to collect the tax. This change is effective from January 1, 2024,
through December 31, 2028. On January 1, 2029, that definition of a “qualified purchaser” will revert to the person
receiving at least $100,000 in gross receipts per calendar year from business operations. Gross receipts are the
total of all receipts from both in-state and out-of-state business operations.
You can register on our website at www.cdtfa.ca.gov by selecting Register Online under Register for a Permit and
then selecting Register a New Business Activity. Once you have registered, you may pay any use tax due after
filing your return. You can also register to report use tax in person at any of our offices.
For additional information, see publication 126, Mandatory Use Tax Registration for Service Enterprises.
*See Assembly Bill 1097 (Stats. 2023, ch. 355).
16 AGRICULTURAL INDUSTRY
|
MARCH 2024
• California income tax return
If you do not hold a permit with us for paying your use tax as described above, you may report and pay use tax to
the Franchise Tax Board (FTB) on your California income tax return. A use tax table is included with the instructions
for the FTB income tax return; it is a tool to assist you in reporting use tax when filing your annual income tax
return. The use tax table is only used for personal purchases less than $1,000, not for business purchases. Business
purchases subject to use tax should be reported using actual business purchase receipts. The due date for paying
use tax is the same as the due date for filing your state income tax return. The date the use tax amount due was
incurred must be within the tax year being reported on your state income tax return. The FTB will forward the use
tax collected to us. If you are a “qualified purchaser,” you are required to register with us to report and pay use tax.
• Consumer use tax account
If you make frequent taxable purchases from out-of-state sellers and are not required to register for a use tax
account as a “qualified purchaser,” you may register with us and obtain a consumer use tax account. You can
register on our website at www.cdtfa.ca.gov, by selecting Register, and then select Register a New Business Activity.
You can also register to obtain a consumer use tax account in person at any of our offices.
You will be provided an account number and the ability to file your return. You will be notified whether you
must file your consumer use tax return on a quarterly or quarterly prepay basis. Your tax return and payment
are due after the close of each reporting period. For example, if you are on a quarterly reporting basis, your
reporting period for the first quarter closes on March 31. Your tax return and payment are due on April 30, the
last day of the following month.
• Vehicles, vessels, and aircraft
Special rules and reporting requirements apply to these purchases. Please see Regulation 1610, Vehicles, Vessels,
and Aircraft, publication 52, Vehicles and Vessels: Use Tax, publication 79, Documented Vessels and California Tax,
and publication 79A, Aircraft and California Tax, or call our Customer Service Center at 1-800-400-7115 (TTY:711).
• Purchases subject to use tax on one-time purchase
If you do not have a seller’s permit and are not required to register for a use tax account as a “qualified
purchaser,” you can report your purchase(s) subject to use tax online. Please visit our Online Services, select
File a Return, under Limited Access Functions, and then select One-Time Use Tax and/or Lumber Return. Once
you have registered, you may pay any use tax due by filing your return. The due date for use tax is April 15 for
products purchased and used in this state in the prior calendar year. Penalty and interest apply to payments
received after the due date. If you have questions or need assistance, please contact our Customer Service
Center at 1-800-400-7115 (TTY:711). Customer service representatives are available Monday through Friday
from 7:30 a.m. to 5:00 p.m.
Vehicles purchased under the partial exemption
Many vehicle purchases that qualify for the partial exemption, for example, farm equipment driven on highways,
such as a cotton trailer or trap wagon, for less than two miles laden or 30 miles unladen, must have and display a
special equipment (SE) identification plate from the Department of Motor Vehicles (DMV). Off-highway vehicles
require an off-highway vehicle (OHV) identification plate. When a dealer sells a vehicle that qualifies for the partial
exemption, the dealer may apply for the SE or OHV plate and pay the appropriate sales or use tax to us. The
dealer, to collect the reduced rate, must also obtain a partial exemption certificate from the buyer, as provided in
Appendix A: Exempt Certificate of this publication.
MARCH 2024
|
AGRICULTURAL INDUSTRY 17
However, when a person buys a vehicle from an out-of-state retailer or someone who is not a licensed vehicle
dealer in California and uses the vehicle in California, the buyer must report the purchase and pay the use tax.
A “qualified purchaser” may claim the partial exemption by either:
• Paying the full amount of tax to the DMV when applying for an SE or OHV plate and filing a claim for refund
with us for the tax-exempt amount (see Applying for a tax refund or clearance), or
• Paying the tax, less the tax-exempt amount, at one of our offices and requesting a tax clearance. The
clearance allows the qualified buyer to obtain an SE or OHV plate for the vehicle from the DMV without
paying additional tax.
California Tire Fee
You owe the California Tire Fee on all new solid or pneumatic tires that you purchase separately for use on on-road
or off-road motor vehicles, motorized equipment, construction equipment, or farm equipment. You also owe the
tire fee on new tires that are included with your purchase/lease/rental of new or used motor vehicles, trailers,
construction equipment, or farm equipment.
Retailers are required to collect the California Tire Fee from you when you purchase new tires separately
(replacement tires) or you purchase new or used farm equipment that include new tires. If you purchase new tires
or farm equipment with new tires from an out-of-state seller that does not charge you the tire fee, then you are
required to pay the tire fee directly to us. Currently, the tire fee is $1.75 per new tire. For more information, see
publication 91, California Tire Fee, located on our website.
Applying for a tax refund or clearance
To obtain a vehicle-related tax refund or tax clearance from us, qualified buyers must document that they are
engaged in a qualifying ranching, farming, growing, or agricultural services business activity, which falls within one
of the required SIC Codes. Preferred documentation is a copy of the buyer’s most recent federal or state income tax
return with an attached Schedule F, Profit or Loss from Farming. A copy should be included with the refund or tax
clearance request. If the buyer does not file a Schedule F, the buyer must provide a copy of their recent income tax
return that shows a business code indicating that the buyer meets the SIC Code requirement. In some situations, we
may require further documentation.
If you paid the full amount of tax to the DMV when applying for an SE or OHV plate and you are filing a claim for
refund with us for the tax-exempt amount, please download and submit a completed CDTFA-101-DMV, Claim for
Refund or Credit for Tax Paid to DMV, and supporting documentation to us to request your refund.
Submit your completed CDTFA-101-DMV and supporting documentation to one of our offices or to our Consumer
Use Tax Section at:
Consumer Use Tax Section MIC:37
California Department of Tax and Fee Administration
PO Box 942879
Sacramento, CA 94279-0037
In addition, when the DMV has issued an SE plate for a farm vehicle, the buyer must provide a registration slip showing that
the DMV has determined the vehicle to be an implement of husbandry. (See Vehicle purchased under partial exemption
and Appendix B.)
For aircraft, the buyer must present a Federal Aviation Administration (FAA) registration showing that the aircraft is
classified for agricultural use. For an OHV plate, the buyer must document that they operate a ranching, farming, or
agricultural services business.
You may also download a copy of publication 117, Filing a Claim for Refund, publication 52, Vehicles and Vessels:
Use Tax, or a CDTFA-101-DMV, Claim for Refund or Credit for Tax Paid to DMV, from our website.
AGRICULTURAL INDUSTRY
|
MARCH 2024
Diesel Fuel Used in Farming or Food Processing
Most sales of diesel fuel are subject to sales and use tax. However, certain sales and purchases of diesel fuel used in
farming activities or food processing qualify for a partial exemption from the sales or use tax, as explained in this section.
This section includes information for fuel sellers and buyers. For more information, see Regulation 1533.2, Diesel Fuel
Used in Farming Activities or Food Processing.
You may also qualify for an exemption from the diesel fuel tax. For information about the diesel fuel tax exemption,
please see Regulation 1431, Diesel Fuel Used on a Farm for Farming Purposes, and visit the Sales and Use Tax
Exemptions webpage.
Calculating tax on diesel fuel when the partial exemption applies
The partial tax exemption for certain sales and purchases of diesel fuel in farming activities or food processing
applies only to the state general and fiscal recovery funds portion of the sales tax, currently 10.75 percent (see
Please note, below). To calculate the non-exempt tax rate for a qualifying transaction, subtract 10.75 percent
from the sales tax rate that would apply if the sale were fully taxable from the full sales tax rate. For example, if
the full tax rate that applies to a taxable sale of diesel fuel is 13.00 percent, subtract the recovery funds portion
of 10.75 percent to find a tax rate for qualifying sales of 2.25 percent (13.00 – 10.75 percent = 2.25 percent).
Please note: The rate for the state general and fiscal recovery funds portion of the sales tax has changed in the past
and may change again after the date of this publication. You must use the rate in effect at the time your sale occurs.
Information on tax rate changes is available on our website or from our Customer Service Center.
Partial tax exemption basic requirements
The partial exemption applies to the sale or purchase of diesel fuel only if the diesel is:
• A type of diesel that qualifies for the exemption, and
• Used in qualifying farming activities, food processing, or related contract hauling.
Types of diesel fuel
For purposes of this partial exemption, “diesel fuel” means:
• Any liquid that is commonly or commercially known or sold as a fuel that is suitable for use in a diesel-powered
highway vehicle. A liquid meets this requirement if, without further processing or blending, the liquid has
practical and commercial fitness for use in the engine of a diesel-powered highway vehicle.
A liquid does not possess this practical and commercial fitness solely by reason of its possible or rare use as a fuel in
the engine of a diesel-powered vehicle.
Diesel fuel should be identified as such on the retailers’ sales invoice. As a retailer, it is important to retain records
showing the sales tax reimbursement was charged on the diesel fuel.
Qualifying activities: farming, food processing, contract hauling
The partial tax exemption for the sale of diesel applies only if the diesel will be used in a qualifying activity in one of
these categories:
• Farming
• Food processing
• Contract hauling (related to farming and food processing).
MARCH 2024
|
AGRICULTURAL INDUSTRY
Farming
The partial exemption may apply to diesel sales to the following people who use diesel fuel in carrying out
qualifying farming activities, as described in the next section:
• Ranchers or farmers in the business of conducting farming activities.
• People who conduct farming activities for those ranchers or farmers on a contract basis, such as aerial operators
who apply fertilizers, seeds, or pesticides to agricultural or horticultural products owned by ranchers or farmers.
Qualifying farming activities
In general, farming activities include the following:
• Cultivating land.
• Raising or harvesting of any plant or animal that can be legally sold to others. Raising a plant or animal means
holding it for further cultivation or development before sale.
• Delivering feed to an animal feeding operation, by a person who owns or supplies the feed.
• Transporting agricultural products to certain businesses that will prepare the products for sale. The business
must be wholly or partially owned by the farmers or ranchers whose products it processes. It can be a
cooperative, joint venture, corporation, partnership, or similar business. (See
Contract hauling.)
• Performing certain activities to prepare agricultural products for sale. The activity must be performed
by a business that is wholly or partially owned by the farmers or ranchers whose products it
processes. It can be a cooperative, joint venture, corporation, partnership, or similar business (See
By a business wholly or partially owned or financed by a farmer or rancher.)
• Transporting agricultural products to buyers, when the transporting is done by a cooperative, joint venture,
corporation, partnership, or similar business that is wholly or partially owned by the farmers or ranchers
whose products it processes or transports. The farmer, rancher, or entity must fully or partially own the
transported product.
• Aerially applying fertilizers, seeds, pesticides, and similar products to farm land, when that application is done
by a licensed aerial applicator.
The following do not qualify as farming activities for
purposes of the partial exemption:
• Buying and selling plants or animals raised by
someone else.
• Activities that are not directly part of cultivating,
harvesting, or raising plants or animals, such
as construction, repair, or maintenance of farm
equipment or buildings.
• Raising agricultural or horticultural products for
the grower’s home or personal use.
AGRICULTURAL INDUSTRY
|
MARCH 2024
Examples of diesel used in farming activities
Sales of diesel fuel will qualify for the partial tax exemption if the purchasing farmer or rancher uses the fuel to:
• Prepare land for planting
• Plant, protect, or grow crops
• Harvest crops
• Feed, water, or transport livestock
• Transport the harvested agricultural or horticultural products from the field or ranch to buyers
By a business wholly or partially owned or nanced by a farmer or rancher
Ranchers and farmers may wholly or partially own or finance agricultural processing and marketing businesses
including cooperatives, joint ventures, corporations, and partnerships. The purchase of diesel by one of these
businesses qualifies for the partial tax exemption when the diesel is used in preparing an owner’s agricultural or
horticultural products for sale or transporting those products to buyers. This includes using diesel for either of the
following purposes:
• To prepare the agricultural or horticultural product for sale. Preparation
can include cleaning, sorting, packing, and some activities such as
slaughtering, freezing, and homogenizing.
• To transport the prepared product to the point where it is sold at retail,
at wholesale, or for consumption at an animal feeding operation.
Example: A farmer raises lemons and sells the crop to a citrus cooperative
in which he holds shares. The cooperative grades and packs the farmer’s
lemons and sells them to a grocery distributor. In this example, these diesel
sales would qualify for the partial exemption:
1. The sale to the farmer of diesel the farmer uses to transport the
lemons to the cooperative,
2. The sale to the cooperative of diesel it uses to grade or pack the
farmer’s lemons, and
3. The sale to the cooperative of diesel it uses to haul the products to
the grocery distributor.
Food Processing
Qualified food processing businesses
The partial exemption for diesel used in food processing is available only to certain businesses. To qualify, the
business’s activities must fall within one of the following SIC Groups or Codes:
• 201 Meat Products
• 202 Dairy Products
• 203 Canned, Frozen, and Preserved Fruits, Vegetables, and Food Specialties
• 204 Grain Mill Products
• 207 Fats and Oils
• 2068 Salted and Roasted Nuts and Seeds
• 2084 Wines, Brandy, and Brandy Spirits
For more details on the types of businesses included in these groups and codes, see the descriptions in Appendix C.
MARCH 2024
|
AGRICULTURAL INDUSTRY
Examples of diesel used in food processing activities
The sale of diesel fuel to a qualified food processor may be eligible for the partial tax exemption. The food processor
must use the diesel in one of the following ways:
• Hauling a raw agricultural product to the processing plant. Raw agricultural product means an unprocessed
product such as grain, vegetables, fruit, or livestock.
• Processing agricultural products. This includes using diesel to run processing equipment, backup generators,
and equipment used to move the product during processing.
• Hauling supplies and materials to the processing plant. This includes only items used in producing the
processed food product, such as cans, labels, and ingredients.
• Hauling partially processed food products between processing plants owned by the same company. For
example, one division of a company processes tomatoes into tomato paste. Another division uses the paste to
produce spaghetti sauce. Moving the paste between the two plants is a qualifying food processing activity.
Please note: Diesel used in an activity that occurs after the food processing is complete does not qualify for the
exemption. For example, diesel used to move a product from the processing plant to a warehouse prior to sale does
not qualify.
Contract hauling
The sale of diesel to a person who contracts to haul agricultural products for a rancher, farmer, or food processor
may qualify for the partial tax exemption. The contractor must use the diesel to:
• Transport—to buyers or intermediate points for handling—agricultural products produced and owned by a
farmer, rancher, or a business wholly or partially owned by a rancher or farmer. (See
Qualifying Farming Activities.)
• Transport raw products, materials, and supplies for a food processor. (See Food Processing.)
Please see the sections on farming and food processing for details regarding the types of transportation that qualify
for the partial exemption.
Exemption certicates, diesel partial exemption
It is important that retailers obtain timely and complete exemption certificates from purchasers who wish to claim
the partial exemption. Retailers must accept the certificates in good faith and keep all exemption certificates on file
to support their partially exempt sales.
To obtain the diesel partial exemption, a rancher, farmer, food processor, or contract hauler should give the retailer
a partial exemption certificate. Often, only retailers who make bulk deliveries of diesel fuel or sell through cardlock
facilities will accept the partial exemption certificate.
Buyers may provide an exemption certificate for each purchase or a blanket exemption certificate to cover the
current purchase and future purchases. If only part of a buyer’s diesel purchases qualifies for the partial exemption,
a buyer filing a blanket exemption certificate must indicate the percentage of exempt use. The buyer should
average the percentage over a normal operating cycle and periodically recalculate it, since the amount of exempt
use may vary from year-to-year.
Examples, blanket partial exemption certicates
• A farmer who purchases bulk diesel has two tanks: a larger tank for dyed diesel, used for fueling tractors and
other field equipment, and a smaller tank for clear diesel, used for fueling pickup trucks and personal cars. All of
the dyed diesel and 75 percent of the clear diesel is used in farming activities. The remaining 25 percent of the
clear diesel is used for personal business not associated with farming. The nonfarm use is reasonably consistent
throughout the year. The farmer may give a blanket partial exemption certificate to the retailer claiming a
partial exemption on 100 percent of the dyed diesel and 75 percent of the clear diesel.
AGRICULTURAL INDUSTRY
|
MARCH 2024
• A trucking company hauls agricultural products to processing plants during the summer and hauls other
products the rest of the year. The company buys 40,000 gallons of diesel a year and uses 25 percent of it, 10,000
gallons, for hauling the agricultural products. The company may give a blanket partial exemption certificate
to the retailer claiming the partial exemption on 25 percent of each diesel purchase, regardless of when the
company makes the purchase.
For more information on exemption certificates, retailer responsibilities, and a certificate, see
Appendix A: Exemption Certificates.
MARCH 2024
|
AGRICULTURAL INDUSTRY
Appendix A: Exemption Certificates
The following exemption certificates are used in the agricultural industry. You can find them on our website under the
Forms & Publications section.
• CDTFA-230-T, Exemption Certificate Animal Life, Feed, Drugs and Medicines
• CDTFA-230-U, Exemption Certificate Animal Life, Drugs and Medicines
• CDTFA-230-N, Exemption Certificate for Qualified Sales and Purchases of Liquefied Petroleum Gas
• CDTFA-230-G, Partial Exemption Certificate for Qualified Sales and Purchases of Diesel and Farm Equipment and Machinery
• CDTFA-230-D, Partial Exemption Certificate Qualified Sales and Purchases of Farm Equipment and Machinery
• CDTFA-608, Certificate of Farming Use
About exemption certicates
Buyers may use the exemption certificates in this appendix to claim the exemptions for the sale or purchase of feed,
veterinary drugs, LPG, farm equipment and machinery, or diesel fuel. To be valid, the buyer or the buyer’s authorized
representative or employee must do all of the following:
• Furnish the certificate to the retailer timely (see below)
• Provide all relevant information (see below)
• Sign and date the certificate
A certificate is timely when provided at any of the times described below:
• Anytime within the retailer’s normal billing or payment cycle.
• At or prior to the delivery of the property.
Please note: An exemption certificate for sales of LPG, farm equipment and machinery, and diesel is also considered
timely if it is submitted no later than 15 days after the date of the purchase.
Relevant information includes:
• The seller’s name and address,
• The type of property being purchased,
• The buyer or company name, title, telephone number, address, and
• The seller’s permit number (if any).
If a portion of the LPG or diesel will be used for exempt purposes, the buyer must indicate the percentage that
qualifies for the exemption. (See Examples, blanket partial exemption certificates.)
Blanket exemption certicates
Purchasers may issue blanket exemption certificates. Instead of issuing a certificate for each purchase, one certificate
can apply to qualifying future purchases. (See instructions on the exemption certificates starting on the next page.)
Cautions for buyers and retailers
Buyers
If you issue a completed exemption certificate when making a fully or partially tax-exempt purchase, but do not use
the property in a way that qualifies for the exemption, you are responsible for paying the full tax and any applicable
penalty or interest. (See How do I pay the California use tax?)
Retailers
You should not make a fully or partially exempt sale of drugs, feed, LPG, farm equipment, or diesel unless the buyer
provides a timely, complete exemption certificate, as described in this publication. To be relieved of the tax amount
due, you must also accept the certificate in good faith. That is, you should not accept a certificate if you know the
buyer does not qualify for the exemption. If you do not comply with these conditions, you are liable for and may
be required to pay the tax exempted on the sale, plus applicable penalty and interest. Be sure to keep copies of
exemption certificates to support your exempt sales.
AGRICULTURAL INDUSTRY
|
MARCH 2024
Appendix B: Vehicles Considered Farm Equipment and Machinery
The following list of typical vehicles regarded as farm equipment and machinery is adapted from the list in
Regulation 1533.1, Farm Equipment and Machinery. Vehicles not included on that list do not qualify for the partial sales
tax exemption unless the DMV determines that they are implements of husbandry. (See Vehicles.)
1. A lift carrier or other vehicle, operated and moved on a highway, designed and used exclusively for lifting
and carrying implements of husbandry or tools used exclusively for agricultural production or harvesting.
2. A tip-bed-type trailer used exclusively for transporting implements of husbandry or tools used exclusively
for agricultural production or harvesting.
3. A trailer or semi-trailer having no bed, designed and used solely for transporting a hay loader or swather.
4. A spray or fertilizer applicator rig used exclusively for agricultural spraying or fertilizing. Exception: Anhydrous
ammonia fertilizer applicator rigs with a transportation capacity of more than 500 gallons (see next item).
5. A trailer or semi-trailer with a maximum transportation capacity of more than 500 gallons, but not more
than 1,000 gallons used exclusively for transporting and applying anhydrous ammonia, provided the
vehicle is equipped with operating brakes or is towed on a highway by a motor truck with a manufacturer’s
gross vehicle weight rating of 3/4 ton or more.
6. A nurse rig or equipment designed or modified for fueling, repairing, or loading an applicator rig or airplane
used for dusting, spraying, fertilizing, or seeding crops.
7. A row duster.
8. A wagon or van used exclusively for carrying farm products on a farm or between farms. Must be used
solely for agricultural purposes. Includes a van used in harvesting alfalfa or cotton that is only incidentally
operated or moved on a highway as a trailer.
9. A wagon or portable house on wheels (1) used solely by shepherds as a permanent residence in connection
with sheep raising operations, and (2) moved on a ranch or between ranches, that is only incidentally
operated or moved on a highway as a trailer.
10. A trap wagon, as defined in California Vehicle Code section 36016, moved on a ranch or between ranches
and operated or moved on a highway only incidental to agricultural operations. The fuel tank or tanks of
the trap wagon cannot have a total capacity of more than 1,000 gallons.
11. Any vehicle operated on a highway only for transporting agricultural products in trips of one mile or less
from the point of origin.
12. A portable honey-extracting trailer or semi-trailer.
13. A fertilizer nurse tank or trailer that is not self-propelled, which is towed empty on the highway and used to
assist a spray or fertilizer applicator rig.
14. Any cotton trailer used on the highway exclusively to transport cotton from a farm to a cotton gin and for
the empty return trip.
15. A truck tractor or truck tractor and semi-trailer combination owned by a farmer and operated on the
highway (1) incidental to a farming operation, (2) not for compensation, (3) for a distance of not more
than two highway miles each way and, (4) at a speed of 25 miles per hour or less. This applies only to truck
tractors with a manufacturer’s gross vehicle weight rating over 10,000 pounds equipped with all-wheel
drive and off-highway traction tires on all wheels, and also to semi-trailers used exclusively in combination
with those truck tractors for tomato production or harvesting.
16. Any farm tractor used on a highway to pull a farm trailer carrying farm produce or to pull any trailer or semi-
trailer carrying implements of husbandry. The tractor must be traveling between farms or from a farm to a
processing or handling point and back (with or without the trailer).
MARCH 2024
|
AGRICULTURAL INDUSTRY
Appendix C: Standard Industrial Classification (SIC) Codes
The Standard Industrial Classification (SIC) Codes were established by the federal government to provide a framework for
collecting statistical information. The Sales and Use Tax Law and regulations require the use of certain SIC Codes to define
the types of businesses that qualify for the LPG, diesel, and farm equipment exemptions. For more information about SIC
Codes, see the website for the federal Occupational Safety and Health Administration (OSHA) (select SIC/NAICS Search
from the OSHA website index).
LPG and farm equipment exemptions—SIC Codes used to dene qualied persons
As noted under Agricultural use of LPG, and Qualified Persons, purchasers qualifying for the LPG and farm
equipment exemptions must be engaged in a business described by SIC Codes 0111 to 0291. Major Group 01
(Codes 0111 to 0191) defines crops. Major Group 02 (Codes 0211 to 0291) defines livestock and animal specialties.
SIC Major Group 01: Agricultural Production Crops
This explanatory information is adapted from the federal SIC Code Manual.
This major group includes businesses primarily engaged in producing crops, plants, vines, and trees (except
forestry operations). Examples include farms, orchards, greenhouses, and nurseries. This major group also includes
businesses primarily engaged in operating sod farms and cranberry bogs; in producing mushrooms, bulbs, flower
seeds, and vegetable seeds; and in growing hydroponic crops. Businesses that produce seeds of field crops are
classified in the same industry as businesses that grow these crops for other purposes.
Industry Group 011: Cash Grains
0111 Wheat
0112 Rice
0115 Corn (not including sweet corn or popcorn)
0116 Soybeans
0119 Cash Grains, Not Elsewhere Classified: Barley, beans, buckwheat, cowpeas, flaxseed, other grains, lentil,
milo, mustard seed, oats, peas, popcorn, rye, safflower, sorghum, sunflowers
Industry Group 013: Field Crops, Except Cash Grains
0131 Cotton, including cotton seed
0132 Tobacco
0133 Sugarcane and Sugar Beets
0134 Irish Potatoes (does not include sweet potatoes or yams)
0139 Field Crops, Except Cash Grains, Not Elsewhere Classified: Alfalfa, broomcorn, clover, grass seed, hay, hops,
mint, peanuts, sweet potatoes, yams, and timothy
Industry Group 016: Vegetables and Melons
0161 Vegetables and Melons: Asparagus, green beans, beets, bok choy, broccoli, cabbage, cantaloupe,
cauliflower, celery, sweet corn, cucumber, fresh peas, fresh lima beans, lettuce, market gardens, melon,
onions, peppers (sweet and hot), squash, tomatoes, watermelons, truck and vegetable farms
Industry Group 017: Fruits and Tree Nuts
0171 Berry Crops
0172 Grapes
0173 Tree Nuts (almonds, filberts, macadamias, pecans, pistachios, walnuts)
0174 Citrus Fruits (grapefruit, lemons, limes, oranges, tangerines)
0175 Deciduous Tree Fruits (apples, apricots, cherries, nectarines, peaches, pears, persimmons, plums,
pomegranates, prunes, quinces)
AGRICULTURAL INDUSTRY
|
MARCH 2024
0179 Fruits and Tree Nuts, Not Elsewhere Classified: Avocados, bananas, coffee, dates, figs, kiwi, olives,
pineapples, plantains, tropical fruit
Industry Group 018: Horticultural Specialties
0181 Ornamental Floriculture and Nursery Products: Bedding plants, bulbs, flowers and shrubs except forest
shrubs, fruit stock, preseeded mats, nursery stock, ornamental and potted plants, roses, seeds, sod
0182 Food Crops Grown Under Cover: Bean sprouts, fruit, hydroponic crops, mushrooms, rhubarb, seaweed,
tomatoes, truffles, vegetables
Industry Group 019: General Farms, Primarily Crop
0191 General Farms, Primarily Crop
SIC Major Group 02: Agricultural Production Livestock and Animal Specialties
This explanatory information is adapted from the federal SIC Code Manual.
This major group includes businesses primarily engaged in keeping, grazing, or feeding livestock for the sale of
livestock or livestock products (including serums), for breeding, or for increasing the livestock’s value. Examples
include farms, ranches, dairies, feedlots, egg production facilities, broiler facilities, poultry hatcheries, and apiaries.
Livestock includes cattle, hogs, sheep, goats, and poultry of all kinds, plus horses, rabbits, bees, pets, fish in captivity,
and furbearing animals in captivity.
Industry Group 021: Livestock, Except Dairy and Poultry
0211 Beef Cattle Feedlots
0212 Beef Cattle, Except Feedlots
0213 Hogs, Hog Feedlots
0214 Sheep and Goats
0219 General Livestock, Except Dairy and Poultry
Industry Group 024: Dairy Farms
0241 Dairy Farms, including Heifer Replacement Farms
Industry Group 025: Poultry and Eggs
0251 Broiler, Fryer, and Roaster Chickens, including Cornish Hens
0252 Chicken Eggs
0253 Turkeys and Turkey Eggs
0254 Poultry Hatcheries
0259 Poultry and Eggs, Not Elsewhere Classified: Ducks, geese, pheasant, pigeon, quail, squab
Industry Group 027: Animal Specialties
0271 Fur-bearing Animals and Rabbits: Chinchilla, fox, mink, rabbit, fur and game farms
0272 Horses and Other Equines: Burros, donkeys, horses, mules, ponies
0273 Animal Aquaculture: Catfish, crustaceans, finfish farms, goldfish, minnows, mollusks, tropical aquarium fish, trout
0279 Animal Specialties, Not Elsewhere Classified: Alligators, apiaries, aviaries, bees, cats, dogs, earthworms,
frogs, kennels that breed and raise their own stock, laboratory animal farms, rattlesnakes, silkworms
Industry Group 029: General Farms, Primarily Livestock and Animal
0291 General Farms, Primarily Livestock and Animal Specialties
SIC Codes for those who assist qualied ranchers and farmers
Businesses within the SIC Codes described in this section are defined as persons who assist qualified ranchers and
farmers. They therefore, qualify for the exemption on their sales and purchases of LPG (see Agricultural use of LPG),
and farm equipment and machinery. (See Qualified Persons.) For more information, see Regulation 1533, Liquefied
Petroleum Gas, and Regulation 1533.1, Farm Equipment and Machinery.
MARCH 2024
|
AGRICULTURAL INDUSTRY
SIC Major Group 07: Agricultural Services
This explanatory information is adapted from the federal SIC Code Manual.
This major group includes businesses primarily engaged in performing soil preparation services, crop services,
veterinary services, other animal services, farm labor and management services, and landscape and horticultural
services for others on a contract or fee basis.
Please note: Feedlots and poultry hatcheries operated on a contract or fee basis are included in Major Group 02.
(See SIC Major Group 02: Agricultural Production Livestock and Animal Specialties.)
Industry Group 071: Soil Preparation Services
0711 Soil Preparation Services: Chemical treatment, fertilizing, lime spreading, plowing, seed bed preparation,
weed control prior to planting
Industry Group 072: Crop Services
0721 Crop Planting, Cultivating, and Protecting: Aerial dusting and spraying, tree and vine bracing, orchard
cultivation services, corn detasseling, disease control, ground dusting and spraying, entomological
services, hoeing, insect control, irrigation system operation, planting, pollinating, pruning, seeding,
thinning, vineyard cultivation services, weed control after planting
0722 Crop Harvesting, Primarily by Machine: Machine harvesting of berries, cotton, fruits, grain, nuts, peanuts,
sugar beets, sugarcane, vegetables; chopping and silo filling; combining; haying; threshing
0723 Crop Preparation Services for Market, Except Cotton Ginning: Bean and seed cleaning; corn, nut
and peanut shelling; drying corn, rice, hay, fruits and vegetables; flax decorticating and retting;
pretransportation fruit and vegetable cooling; fruit and vegetable vacuum cooling; grain cleaning,
fumigation and custom grinding; moss ginning; sorting, grading, packing and packaging fresh and dried
fruits and vegetables; potato and sweet potato curing; tobacco grading
0724 Cotton Ginning
Industry Group 074: Veterinary Services
0741 Veterinary Services for Livestock: Animal hospitals for livestock; veterinarians and veterinary services for
livestock
0742 Veterinary Services for Animal Specialties: Animal hospitals for pets and other animal specialties,
veterinarians and veterinary services for pets and animal specialties
Industry Group 075: Animal Services, Except Veterinary
0751 Livestock Services, Except Veterinary: Artificial insemination for livestock; livestock breeding, cattle spaying,
poultry coop cleaning, dairy herd improvement associations, milk testing, pedigree record services, sheep
dipping and shearing, showing livestock, custom slaughtering for individuals, vaccinating livestock
0752 Animal Specialty Services, Except Veterinary: Animal shelters, artificial insemination and breeding of
animal specialties, boarding horses and kennels, dog grooming, dog pounds, honey straining on the
farm, pedigree record services for pets and animal specialties, showing of pets and animal specialties,
horse training excluding racing, training, or vaccinating pets or animal specialties
Industry Group 076: Farm Labor and Management Services
0761 Farm Labor Contractors and Crew Leaders
0762 Farm Management Services: Citrus grove, orchard, and vineyard management and maintenance with or
without crop services; farm management services
Industry Group 078: Landscape and Horticultural Services
0781 Landscape Counseling and Planning: Garden planning, horticultural counseling services, landscape
architecture, counseling and planning
AGRICULTURAL INDUSTRY
|
MARCH 2024
0782 Lawn and Garden Services: Bermuda sprigging; cemetery upkeep; garden maintenance and planting;
lawn care, fertilizing, mowing, mulching, seeding, spraying and sprigging; mowing and seeding highway
center strips; sod laying
0783 Ornamental Shrub and Tree Services: Arborist services; ornamental bush and tree planting, pruning,
bracing, spraying, removal and surgery; tree trimming for utility lines
SIC Codes used to dene food processors
SIC Major Group 20: Food and Kindred Products
This explanatory information is adapted from the federal SIC Code Manual.
As noted in the section on the sale and purchase of diesel fuel, only businesses with certain SIC Codes qualify as
food processors for purposes of the diesel partial exemption. Those businesses are within specific Industry Group
Codes in SIC Major Group 20, Food and Kindred Products. This major group includes businesses manufacturing or
processing foods and beverages, and certain related products, such as manufactured ice, chewing gum, vegetable
and animal fats and oils, and prepared feeds for animals and birds.
Industry Group 201: Meat Products
2011 Meat Packing Plants
2013 Sausages and Other Prepared Meat Products
2015 Poultry Slaughtering and Processing
Industry Group 202: Dairy Products
2021 Creamery Butter
2022 Natural, Processed, and Imitation Cheese
2023 Dry, Condensed, and Evaporated Dairy Products
2024 Ice Cream and Frozen Desserts
2026 Fluid Milk
Industry Group 203: Canned, Frozen, and Preserved Fruits, Vegetables, and Food Specialities
2032 Canned Specialties
2033 Canned Fruits, Vegetables, Preserves, Jams, and Jellies
2034 Dried and Dehydrated Fruits, Vegetables, and Soup Mixes
2035 Pickled Fruits and Vegetables, Vegetable Sauces and Seasonings, and Salad Dressings
2037 Frozen Fruits, Fruit Juices, and Vegetables
2038 Frozen Specialties, Not Elsewhere Classified
Industry Group 204: Grain Mill Products
2041 Flour and Other Grain Mill Products
2043 Cereal Breakfast Foods
2044 Rice Milling
2045 Prepared Flour Mixes and Doughs
2046 Wet Corn Milling
2047 Dog and Cat Food
2048 Prepared Feeds and Feed Ingredients for Animals and Fowls, Except Dogs and Cats
Industry Group 206: Sugar and Confectionery Products
2068 Salted and Roasted Nuts and Seeds
Industry Group 208: Beverages
2084 Wines, Brandy, and Brandy Spirits
MARCH 2024
|
AGRICULTURAL INDUSTRY
For More Information
For additional information or assistance, please see the resources listed below.
INTERNET
www.cdtfa.ca.gov
You can visit our website for additional information—such as laws, regulations, forms, publications, industry guides,
and policy manuals—that will help you understand how the law applies to your business.
You can also verify seller’s permit numbers on our website (see Verify a Permit, License, or Account).
Multilingual versions of publications are available on our website at www.cdtfa.ca.gov/formspubs/pubs.htm.
Another good resource—especially for starting businesses—is the California Tax Service Center at www.taxes.ca.gov.
TAX INFORMATION BULLETIN
The quarterly Tax Information Bulletin (TIB) includes articles on the application of law to specific types of
transactions, announcements about new and revised publications, and other articles of interest. You can find
current TIBs on our website at www.cdtfa.ca.gov/taxes-and-fees/tax-bulletins.htm. Sign up for our CDTFA updates
email list and receive notification when the latest issue of the TIB has been posted to our website.
FREE CLASSES AND SEMINARS
We offer free online basic sales and use tax classes including a tutorial on how to file your tax returns. Some classes are
offered in multiple languages. If you would like further information on specific classes, please call your local office.
WRITTEN TAX ADVICE
For your protection, it is best to get tax advice in writing. You may be relieved of tax, penalty, or interest charges that
are due on a transaction if we determine that we gave you incorrect written advice regarding the transaction and
that you reasonably relied on that advice in failing to pay the proper amount of tax. For this relief to apply, a request
for advice must be in writing, identify the taxpayer to whom the advice applies, and fully describe the facts and
circumstances of the transaction.
For written advice on general tax and fee information, please visit our website at www.cdtfa.ca.gov/email to email
your request.
You may also send your request in a letter. For general sales and use tax information, including the California
Lumber Products Assessment, or Prepaid Mobile Telephony Services (MTS) Surcharge, send your request to:
Audit and Information Section, MIC:44, California Department of Tax and Fee Administration, P.O. Box 942879,
Sacramento, CA 94279-0044.
For written advice on all other special tax and fee programs, send your request to: Program Administration Branch,
MIC:31, California Department of Tax and Fee Administration, P.O. Box 942879, Sacramento, CA 94279-0031.
TAXPAYERS’ RIGHTS ADVOCATE
If you would like to know more about your rights as a taxpayer or if you have not been able to resolve a problem
through normal channels (for example, by speaking to a supervisor), please see publication 70, Understanding Your
Rights as a California Taxpayer, or contact the Taxpayers’ Rights Advocate Office
for help at 1-888-324-2798. Their fax
number is 1-916-323-3319.
If you prefer, you can write to: Taxpayers’ Rights Advocate, MIC:70, California Department of Tax and Fee Administration,
P.O. Box 942879, Sacramento, CA 94279-0070.
CUSTOMER SERVICE CENTER
1-800-400-7115 (TTY:711)
Customer service representatives are available
Monday through Friday from 7:30 a.m. to 5:00 p.m.
(Pacific time), except state holidays. In addition to
English, assistance is available in other languages.
OFFICES
Please visit our website at
www.cdtfa.ca.gov/office-locations.htm
for a complete listing of our office locations. If
you cannot access this page, please contact our
Customer Service Center at 1-800-400-7115 (TTY:711).
AGRICULTURAL INDUSTRY
|
MARCH 2024
Regulations, forms, publications, and industry guides
Lists vary by publication
Selected regulations, forms, publications, and industry guides that may interest you are listed below.
Translated versions of certain publications are also available online.
Selected regulations
1533 Liquefied Petroleum Gas
1533.1 Farm Equipment and Machinery
1533.2 Diesel Fuel Used in Farming Activities or Food Processing
1587 Animal Life, Feed, Drugs and Medicines
1588 Seeds, Plants and Fertilizer
1589 Containers and Labels
1610 Vehicles, Vessels, and Aircraft
1628 Transportation Charges
1641 Credit Sales and Repossessions
1642 Bad Debts
1654 Barter, Exchange, “Trade-ins” and Foreign Currency Transactions
1655 Returns, Defects and Replacements
1660 Leases of Tangible Personal Property — in General
1661 Leases of Mobile Transportation Equipment
1667 Exemption Certificates
1668 Sales for Resale
1698 Records
1700 Reimbursement for Sales Tax
1821 Transactions (Sales) and Use Tax: Foreword
MARCH 2024
|
AGRICULTURAL INDUSTRY
Publications
17 Appeals Procedures: Sales and Use Taxes and Special Taxes
36 Veterinarians
44 District Taxes (Sales and Use Taxes)
46 Leasing Tangible Personal Property
51 Resource Guide to Tax Products and Services for Small Businesses
52 Vehicles and Vessels: Use Tax
58A How to Inspect and Correct Your Records
61 Sales and Use Taxes: Exemptions and Exclusions
70 Understanding Your Rights as a California Taxpayer
73 Your California Seller’s Permit
74 Closing Out Your Account
75 Interest, Penalties, and Collection Cost Recovery Fee
76 Audits
79 Documented Vessels and California Tax
79A Aircraft and California Tax
100 Shipping and Delivery Charges
101 Sales Delivered Outside California
102 Sales to the United States Government
103 Sales for Resale
105 District Taxes and Sales Delivered in California
109 Internet Sales
110 California Use Tax Basics
113 Coupons, Discounts and Rebates
116 Sales and Use Tax Records
117 Filing a Claim for Refund
126 Mandatory Use Tax Registration for Service Enterprises
