006.05.98 Ark. Code R. 018 - Amendment to Gross Receipts Regulation GR-45

This amendment to Gross Receipts Tax Regulation GR-45 is adopted under the provisions of Ark. Code Ann. § 25-15-204, Ark. Code Ann. § 26-18-101 et seq. and Ark. Code Ann. § 26-52-101 et seq. This amendment is necessary to properly administer Ark. Code Ann.§ 26-52-101 et seq. Gross Receipts Regulation GR-45 is amended to read as follows:

" A. The gross receipts or gross proceeds derived from sales of agricultural fertilizer, agricultural limestone, and agricultural chemicals are exempt from the tax. The term "agricultural chemicals" includes, but is not limited to agricultural pesticides and agricultural herbicides; and vaccines, medications and medicinal preparations used in treating livestock and poultry. Pesticides and herbicides used in and around poultry and other animal houses and agricultural chemicals and fertilizers used in the commercial production of timber are exempt.

B. The gross receipts or gross proceeds derived from sales of feedstuffs used in growing and producing livestock or poultry for commercial production in Arkansas are exempt from the tax.

C. For purposes of this regulation, the following definitions shall apply:

1. The term 'feedstuffs' shall mean processed or unprocessed grains, mixed or unmixed grains; whole or ground hay; whole or ground straw; hulls, whether mixed with other materials or not; and food supplements, including hormones, antibiotics, vitamins, minerals and medications ingested by poultry or livestock. Food supplements need not be nutritious or for medicinal purposes.

2. The term 'livestock' includes cattle, horses, mules, sheep, hogs, and any other animals kept for commercial use or profit.

3. The term 'agricultural' means operations engaged in for the production of food, fiber, timber, sod or nurseryman products."

Notes

006.05.98 Ark. Code R. 018

7/8/1998