Any machinery used exclusively (100% of the time) in the harvesting of timber is considered qualified agricultural equipment, and would be exempt from sales tax. Any subsequent repair labor and repair or replacement parts for qualifying equipment, when sold to a qualified timber harvester that has been issued the agricultural exemption certificate, are exempt from sales and use tax. Examples include chainsaws, log skidders, bulldozers used in a qualified manner, and equipment used to load the logs onto trucks and trailers. Additionally, the agricultural exemption for trailers includes trailers used to transport harvested timber over the road to the saw mill or market (e.g., semi-trailer). Trucks, however, are specifically excluded from the agricultural exemption. See important notice #19-09.
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