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This Ruling has been obsoleted by PS 94(3)

Ruling 89-75

Utility Exemption - Agricultural

The sales of electricity and gas used directly in agricultural production are exempt from sales and use tax. The sales of electricity and gas to florists with greenhouses and nursery operations are not subject to sales and use tax, because the greenhouse and nursery operations fall within the purview of the agricultural exemption. Florists who purchase cut flowers and prepare floral arrangements are subject to sales tax on their utility bills.


September 6, 1989