Stable Sales Tax: - New York Farm Bureau

Stable Sales Tax:Does it apply to you?NYFB 159 Wolf Rd., PO Box 5330, Albany, NY 12205 1-800-342-4143 http://www.nyfb.orgWhat’s the law?A commercial horse boarding operation is defined as consisting at least 7 acres and boarding atleast 10 horses, that receives $10,000 or more in gross receipts annually from fees generated eitherthrough the boarding of horses or through the production of sale of crops, livestock and livestockproducts. A commercial horse boarding operation does not include operations whose primary onsitefunction is horse racing. In the TBS-M-00(8)S it expands the existing exemptions from state andlocal sales and use taxes and extends these exemptions to commercial horse boarding operations.Where do you get all the specifics?This information can be found either by visiting our website at http://www.nyfb.org underResources then tax information. Or you can got to http://www.tax.state.ny.us under search typein TBS-M-00(8)S. Both links provide information on the ST-125 tax form and how that form isaccepted. As well as detailed information on what is taxable and what is not.So what is taxable?One will find that almost all goods and services are taxable. The main self-guide is to decidewhether it falls into the area of “Care, Custody and control” this usually is what makes up theboarding costs. Feeding • Watering Mucking/Grooming • Exercising (riding or hot walker) Blanketing (cold/wet) • Fly spraying and cleaning off Bot eggs Worming • Administering shots Nurse care • Vet and Farrier formalities Maintenance of tack • Resale of tack Burial of dead animals • TurnoutThese are all services and are therefore need to be taxed.What items are non taxable?The New York State law was expanded to provide significant sales tax relief on farm relatedpurchases. Such as: Exemption for tangible personal property Computers Building Materials Machinery or Equipment Exemptions for services (equipment or property servicing) Exemption for utilities, utility services, motor fuel and diesel motor fuelOver

What services are non-taxable?Training and showing: Running a show/leasing facilities to another show group Use of riding arena or jumps by non boarders Animal trailering/transporting Group and individual lessons • Training a horse Animal prep • Use of tackWOW! What do I do now?Back taxes are very costly and often detrimental to established farms. Taking care of your pastobligations is very important.If you are a new business:• Register with the Tax Department by going online at www.nys-permits.org or bygoing to the following link: Online Application for Registration as a Sales Tax Vendorand filling out Form DTF-17. New businesses should register at least 20 days beforeopening.Vendors can also send their sales tax registration form(s) to:NYS Tax DepartmentSales Tax Registration UnitWA Harriman CampusAlbany, N.Y. 12227-0155If you have been in business for a number of years- you have two options1) Register at www.nys-permits.org or by going to the following link: OnlineApplication for Registration as a Sales Tax Vendor using Form DTF-17, and work outa compliance payment plan. You can contact the voluntary disclosure unit at 1-800-972-1233 and work out a method of meeting your past obligations. They are moreinterested in reaching an equitable solution that allows you to stay in business than2) Or, hope that a new tax amnesty program will be established. When and if thatdoes, it will probably mean that the Dept. will waive the penalty and lower theinterest rate by 2%.