Farmers will have two ways to buy agricultural materials tax-free

The reseller permit replaces resale certificates that businesses use to purchase items for resale without paying sales tax. The Legislature created the new system in an effort to capture an estimated $100 million in state and local sales tax lost annually to businesses that buy products and services that are not resold.
Farmers already registered with the Department may automatically be mailed a free reseller permit if their businesses meet certain criteria. Farmers who are not sent permits may apply for them.
Whichever form a farmer uses, records must be kept for five years so the Department can verify that purchases qualify. More information about qualifying tax-exempt purchases for farmers is at or by calling 1-800-647-7706.