This amendment to Gross Receipts Tax Regulation GR-43 is adopted as an
emergency regulation 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-43 is amended to read as follows:
"A. The gross receipts or gross proceeds
derived from the sale of bagging, packaging and tie materials sold to, and used
by, cotton gins in Arkansas for packaging and tying, or for packaging or tying
baled cotton in Arkansas are exempt from the tax. The gross receipts or gross
proceeds derived from the sale of twine which is used in production of tomato
crops in Arkansas are exempt from the tax.
B. The gross receipts or gross proceeds
derived from the sale of cotton, seed cotton, lint cotton, or baled cotton,
whether the cotton is compressed or not, are exempt from this tax.
C. The gross receipts or gross proceeds
derived from the sale of cotton seed in its original condition are exempt from
the tax.
D. The gross receipts or
gross proceeds derived from the sale of seed to be used in the commercial
production of any agricultural product, or in the commercial production of any
agricultural seed are exempt from the tax. Also, the gross receipts or gross
proceeds derived from the sale of seedlings used in the commercial production
of timber are exempt from tax. For purposes of this subsection the term
"commercial production" means that the purchaser of the seed or seedling is
engaged in the business of growing agricultural products, including the
production of timber.
E. The term
'agricultural' means operations engaged in for the production of food, fiber,
timber, sod or nurseryman products."
EMERGENCY AMENDMENT TO GROSS RECEIPTS REGULATION GR-45
This amendment to Gross Receipts Tax Regulation GR-45 is adopted as an
emergency regulation 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."
