Farmers, nurserymen, and timber harvesters wishing to make sales tax-free purchases of qualified farm equipment, seed and other tax-exempt farm and nursery supplies must present proof of their status as an exempt farmer, nursery operator or timber harvester directly to the seller. One of the following documents is required to be submitted to a seller for sales tax exemption:
Sellers must keep a copy of one of these documents on file and include the buyer's name, address and description of tax-exempt purchases on each invoice. Farmers, nurserymen, and timber harvesters should retain their original documents in a safe place for future use during the exemption period.
The Department of Revenue mailed Agricultural Sales and Use Tax Certificates of Exemption to those who were determined automatically to qualify for the exemption in December 2011. These certificates are good for the period of January 1, 2012 through December 31, 2015. Older cards are for exemptions prior to January 1, 2012 and cannot be used for current purchases. Sellers should still keep copies of the older exemption certificates to support any tax exempt sales made prior to January 1, 2012.
Those who have already received their certificate do not need to fill out an application or file additional documentation with the Department of Revenue. For those who have not received a certificate, please print and fill out an application and file it with Revenue to receive a certificate authorizing tax-exempt purchases. Receipt of a certificate serves as the notice of sales tax exempt status.
Please see below for links to other important information.
Items that are exempt from sales and use tax when sold to persons who have received an Agricultural Sales and Use Tax Certificate of Exemption include:
For questions on this topic, please call the Department of Revenue at (615) 253-0600 (outside Tennessee and local Nashville) or (800) 342-1003 (inside Tennessee toll-free). Email questions may be directed to TN.Revenue@tn.gov.