What is the Qualified Farmer Certificate or E-595E?

Under the North Carolina Qualified Farmer Tax Exemption program, the North Carolina Department of Revenue allows for individuals eligible to receive agriculture sales tax exemptions under North Carolina state law. This applies to all purchases of forestry equipment and parts by qualified individuals.

What is the law?

• § 105-164.13.  Retail sales and use tax.
  The sale at retail and the use, storage, or consumption in this State of the following items are specifically exempted from the tax imposed by this Article:
  (4f) Sales of the following to a person who is engaged in the commercial logging business:

  a.  Logging machinery. – Logging machinery is machinery used to harvest raw forest products for transport to first market.

  b.  Attachments and repair parts for logging machinery.

  c.  Lubricants applied to logging machinery.

  d.  Fuel used to operate logging machinery.

  Industrial Group.

• Know which tax forms your file for your farm or business
• The exemption application is good for three years.

Who can qualify

•  Any person or business that generates more than $10,000 in annualized agricultural sales