Getting a Farm Tax Number ??

[175gr7.62]

What all is required to get a tax number to buy farm equipment without paying sales tax?

[JTCowpoke]

You just fill out the online form and thats about it.

[LWD]

There's not a number. You just complete and give the seller a completed Sales and Use Tax exemption certificate. The forms are here: https://comptroller.texas.gov/forms/01-339.pdf

[Take Dead Aim]

Be careful. The IRS is really starting to crack down on the Ag Use. I know of multiple people who audited and the agent said the Ag Exempt was the triggering factor.

[Stan R]

You have to get a number from the Comptroller. I also think you need a agg exemption on your property to get a tax exemption number

go here

https://comptroller.texas.gov/taxes/ag-timber/

I have never reported anything I bought without TEXAS sales tax to the IRS

[175gr7.62]

I bought the property from my Gpaw and he took it out of AG because he sold his cows. I didn’t realize he had done that but we have still been cutting hay and have cows now but county said we have to wait 5yrs. I’m just looking to not pay sales tax on a new shredder, wire, posts, and all the Remedy and Garlon I’m buying.


Sent from my iPhone using Tapatalk

[friscopaint]

Thats brutal he took it out of ag

[DeadEyeB]

I bought the property from my Gpaw and he took it out of AG because he sold his cows. I didn’t realize he had done that but we have still been cutting hay and have cows now but county said we have to wait 5yrs. I’m just looking to not pay sales tax on a new shredder, wire, posts, and all the Remedy and Garlon I’m buying.


Sent from my iPhone using Tapatalk

You have to profit 3 out of the next 5 years or they can call it a hobby farm. At which point you can not use tax exemptions. Till then you are free to do so. As always consult an accountant for those things and not internet strangers

[denowt]

You have to get a number from the Comptroller. I also think you need a agg exemption on your property to get a tax exemption number

go here

https://comptroller.texas.gov/taxes/ag-timber/

I have never reported anything I bought without TEXAS sales tax to the IRS

So you don't claim any farm related expenses or depreciate any assets?

Depending on how big your operation is, you could significantly reduce your income tax owed.

[sharkhunter]

Thats brutal he took it out of ag

I don’t believe it can be transferred anyways? I’m going to go the bee 🐝 route for property tax and I run a feeder business that should cover everything else.

[brokeno]

Call the appraisal district and talk to them. Depends if you have a reasonable chief appraiser and how long it was out of ag. Most of them will work with you. Profit or loss don't have nothing to do with it.

[Walker]

You have to profit 3 out of the next 5 years or they can call it a hobby farm. At which point you can not use tax exemptions. Till then you are free to do so. As always consult an accountant for those things and not internet strangers

I like your grinning smiley face because the 3 out of 5 year profit is an old tax.wives tale. You dont ever have.to profit, just keep trying to profit.

[Uncle Saggy]

I like your grinning smiley face because the 3 out of 5 year profit is an old tax.wives tale. You dont ever have.to profit, just keep trying to profit.

Wrong.
Wouldn't that be lying and cheating on your taxes?


Sent from my iPad using Tapatalk

[Walker]

Wrong.
Wouldn't that be lying and cheating on your taxes?


Sent from my iPad using Tapatalk

Not if you only take allowed deductions and depreciations.

[BTLowry]

I bought the property from my Gpaw and he took it out of AG because he sold his cows. I didn’t realize he had done that but we have still been cutting hay and have cows now but county said we have to wait 5yrs. I’m just looking to not pay sales tax on a new shredder, wire, posts, and all the Remedy and Garlon I’m buying.


Sent from my iPhone using Tapatalk

There are differences from county to county

In Smith you have to prove the land was used for ag use for 5 out of the last 7 years
At least that is what I remember them saying