{"data":{"id":"us-ky/krs-139.481","jurisdiction":"us-ky","citation":"KRS 139.481","heading":"Agriculture exemption license number required for exemption -- Eligibility","body":"for application -- Documentation to seller for receipt of exemption --\nAdministrative regulations -- Expiration and renewal of exemption number --\nSearchable database of agriculture exemption numbers.\n(1) On and after January 1, 2023, every person claiming an exemption provided under\nKRS 139.480(4) to (9), (11), (13) to (15), (22) to (29), and (32) shall provide to the\nseller or retailer a valid agriculture exemption li cense number issued by the\ndepartment.\n(2) A person is eligible to apply for an agriculture exemption license number if the\nperson is:\n(a) Regularly engaged in the occupation of tilling and cultivating the soil for the\nproduction of crops as a business;\n(b) Regularly engaged in the occupation of raising and feeding livestock of a kind\nthe products of which ordinarily constitute food for human consumption;\n(c) Raising and feeding poultry;\n(d) Producing milk for sale; or\n(e) Regularly engaged in raising ratit e birds, llamas, alpacas, buffaloes, cervids,\nor aquatic organisms as an agricultural pursuit.\n(3) (a) On and after January 1, 2023, persons that receive an agriculture exemption\nlicense number and choose to claim the exemptions outlined in subsection (1)\nof this section shall, at least one (1) time, provide the seller or retailer from\nwhom they purchase exempt tangible personal property with one (1) of the\nfollowing:\n1. The agriculture exemption license number issued by the department; or\n2. A fully completed Streamlined Sales Tax Certificate of Exemption\nwhich shall include the agriculture exemption license number.\n(b) A purchaser that has met the requirements of paragra ph (a) of this subsection\nmay issue the agriculture exemption license number to the seller or retailer for\nsubsequent purchases as evidence of an exempt purchase for as long as the\nagriculture exemption license number is valid.\n(c) Persons that meet the re quirements of subsection (2) of this section but have\nnot yet received an agriculture exemption license number from the department\nprior to January 1, 2023, may issue a fully completed exemption certificate or\na fully completed Streamlined Sales Tax Certif icate of Exemption without the\nagriculture exemption license number prior to January 1, 2023.\n(4) (a) The department, by administrative regulation, shall develop an application\nform for the agriculture exemption license number and procedures by which\nthe application form may also be submitted either electronically or by paper\nfiling.\n(b) The application shall include:\n1. The person's name and mailing address;\n2. The farm address, if different from the person's mailing address;\n3. An affirmation that the per son meets at least one (1) of the criteria\noutlined in subsection (2) of this section;\n4. The person's driver's license number; and\n5. One (1) of the following forms of documentation:\na. IRS Schedule F, Profit or Loss from Farming;\nb. IRS Form 4835, Farm Rental Income and Expenses;\nc. The farm service agency number or numbers assigned by the\nUnited States Department of Agriculture pertaining to the parcels\nof land on which agriculture activity will take place; or\nd. Any other type of information that may establish to the satisfaction\nof the Commissioner that the applicant qualifies for the agriculture\nexemption license number.\n(5) (a) The agriculture exemption license number shall expire:\n1. On December 31, 2026, and every four (4) years thereafter; or\n2. When the person ceases to engage in the agriculture activity for which\nthe agriculture exemption license number was granted;\nwhichever comes first.\n(b) The department shall extend the December 31, 2026, deadline for a period not\nto exceed six (6) months, as  needed to allow persons with agriculture\nexemption license numbers to renew before expiration.\n(c) When a person ceases to engage in the agriculture activity for which the\nlicense number was granted, the person shall notify the department within\nsixty (60) days.\n(d) The person may apply for a renewal of the agriculture exemption license\nnumber prior to the expiration date if the person continues to meet the\nrequirements of subsection (2) of this section and provides documentation\nrequired by subsection (4) (b)5. of this section. The department shall, by\nadministrative regulation, prescribe the electronic process for renewing an\nagriculture exemption license number.\n(6) (a) On or before January 1, 2023, the department shall develop and provide an\nonline searc hable database on the department's website that the seller or\nretailer may use to confirm the agriculture exemption license number if the\npurchaser cannot produce documentation of the agriculture exemption license\nnumber at the time of sale.\n(b) To search the database, the seller or retailer shall provide the name of the\nperson assigned the agriculture exemption license number and one (1) of the\nfollowing:\n1. The agriculture exemption license number;\n2. The agriculture exemption license number expiration date;\n3. The person's driver's license number;\n4. The farm service agency parcel number; or\n5. Any other unique identifier that may be accepted by the department.\n(c) The seller or retailer shall be relie ved of the liability for collecting and\nremitting the sales and use tax if the seller or retailer meets the requirements\nof KRS 139.260 and 139.270.","path":["KRS Chapter 139"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=57940","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:50:31Z","sha256":"4d8ccdd90989f97d366c90235430fbab83510ae65aa4924c06bcb6d1b8af8489","source_id":"us-ky","stale":false,"prev":"us-ky/krs-139.4802","next":"us-ky/krs-139.482"},"notice":"GroundRules: Original legal text. Not legal advice."}