New York – Highway Use Tax Exemption for Farm Vehicles Amended

SALT Report 2517 – The New York Department of Taxation issued a memorandum that discusses recent amendments to the highway use tax exemption for farm vehicles. Prior to the amendment, a farmer was required to own and operate the vehicle in order to qualify for the exemption. The amended law extends the exemption to vehicles that are leased by either the farmer or a related entity and to vehicles operated by someone other than the farmer, if used to exclusively transport the following:

  • The farmer’s own agricultural commodities, products, pulpwood, or livestock, including packaged, processed, or manufactured products, that were grown or raised on the farmer’s own farms or orchards,
  • Farm products from farms contiguous to the farmer’s own farms, or
  • Supplies and equipment used or consumed on the farmer’s own farms

The amendments to the exemption are effective June 1, 2013.

For Further Information

New York Department of Taxation and Finance – TSB-M-13(5)M