What else can you get a break on? Fences or even a barn? Feed?
Lots of stuff: here is a list of a few and yes fences are exempt, barns are not, feed is exempt.
Exempt Ag/Timber Purchases – Agricultural or Timber Exemption Certificate and Ag/Timber Number Required
You must give the retailer a properly completed agricultural or timber exemption certificate showing a current agricultural and timber registration number (ag/timber number) when purchasing these items:
animals raised to sell as food, but not ordinarily considered food or required to be inspected by the USDA’s Food Safety Inspection Service, such as rabbits, deer, llamas and bison;
animals raised and shown by students and teachers in 4H, FFA and similar agricultural vocational groups;
fertilizers, fungicides, insecticides, herbicides, defoliants and desiccants used exclusively to produce timber for sale or on a commercial farm or ranch to produce food or other agricultural products for sale;
machinery and equipment (including repair or component parts) used exclusively on a commercial farm or ranch to produce food or other agricultural products for sale or to build or maintain roads and water supplies;
machinery and equipment (including repair or component parts) used exclusively to produce timber;
machinery and equipment used by an original producer for packing and processing agricultural or timber products;
machinery and equipment exclusively used in an agricultural aircraft operation, as defined by 14 CFR Section 137.3;
tangible personal property incorporated into a structure used for poultry carcass disposal;
components of irrigation systems used to produce food and other agricultural and timber products for sale;
seedlings used to produce timber for sale;
electricity and natural gas used in agricultural or timber operations;
services performed on exempt tangible personal property identified in this list; and
telecommunications services (as of Sept. 1, 2015) used to navigate machinery and equipment exclusively used on a farm or ranch to:
build or maintain roads;
build or maintain water facilities; or
produce agricultural products to be sold in the regular course of business.
Other Exempt Purchases – Sales and Use Tax Exemption Certificate Required
Some animals and their feed do not qualify for the ag/timber exemption, but do qualify for the standard sales and use tax exemption. You must give the retailer a properly completed Form 01-339, Texas Sales and Use Tax Exemption Certificate (PDF) when purchasing them. The certificate must specifically explain the exempt purpose for which the animal or feed will be used. You do not need an ag/timber number to buy them.
Work Animals – Animals used exclusively in one of the following work activities qualify for exemption:
herding dogs and animals raised for their products (such as wool or fur), if harvesting those products is their primary purpose;
aiding a person with a disability (professionally trained service animals); and
performing protective services, if the animal has been professionally trained for that specific purpose.
Work animals do not include animals raised, trained or kept as pets or breeding stock or those kept for sport or for show. For example, tax is due on hunting dogs or other animals a game hunting operation purchases and on exotic animals a zoo or circus purchases.
Animal Feed – Feed for work animals qualifies for exemption. Feed for animals being held for sale in the regular course of business (including dogs, cats, rabbits and exotic animals) also qualifies for exemption.
To qualify for exemption, the sales and use tax exemption certificate must clearly state the feed is for work animals, animals to be sold in the regular course of business or for breeding stock for animals that will be sold.
Pet food is taxable. Pet food prescribed by a veterinarian can be purchased tax free without a sales and use tax exemption certificate.
Go to
https://www.comptroller.texas.gov/taxes/ag-timber/ and you will find out a lot of information.
