Section 45 IAC 2.2-5-5 - Raising horses, donkeys and ponies; application for sales taxAuthority: IC 6-8.1-3-3
Affected: IC 6-2.5
Sec. 5.
(a) The raising of saddle horses, harness horses, ponies, donkeys, or any other similar animals not used directly in direct agricultural production does not qualify as agricultural production for "human consumption" under the gross retail sales and use tax act. Consequently, the purchase of supplies, food, materials, and equipment used in raising or maintaining such animals are subject to the sales tax unless the items are directly used or consumed in the production of such animals for resale in the regular course of the purchaser's business.(b) The purchase of any of the above animals is subject to the sales tax unless the purchaser is a registered retail merchant and is buying such animal for resale in the regular course of his business.(c) A valid exemption certificate must be furnished by the purchaser setting out the reasons for any exemption.(d) An agricultural exemption certificate may be used only for the purchase of draft animals which are to be directly used in direct production of agricultural products.Department of State Revenue; Ch. 5, Reg. 6-2.5-5-1050; filed Dec 1, 1982, 10:35 am: 6 IR 29; filed Aug 6, 1987, 4:30 pm: 10 IR 2618