Stricken language would be deleted from and underlined language would be added to present law.
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State of Arkansas 1
94th General Assembly A Bill 2
Regular Session, 2023 HOUSE BILL 1506 3
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By: Representative Beaty Jr. 5
By: Senator Gilmore 6
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For An Act To Be Entitled 8
AN ACT TO CREATE A S ALES AND USE TAX EXE MPTION FOR 9
PARTS PURCHASED TO R EPAIR AGRICULTURAL E QUIPMENT AND 10
MACHINERY AND TIMBER EQUIPMENT AND MACHIN ERY; AND FOR 11
OTHER PURPOSES. 12
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Subtitle 15
TO CREATE A SALES AND USE TAX EXEMPTION 16
FOR PARTS PURCHASED TO REPAIR 17
AGRICULTURAL EQUIPMENT AND MACHINERY AND 18
TIMBER EQUIPMENT AND MACHINERY. 19
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BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 22
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SECTION 1. Arkansas Code Title 26, Chapter 52, Subchapter 4, is 24
amended to add an additional section to read as follows: 25
26-52-455. Parts to repair agricultural equipment and machinery or 26
timber equipment and machinery. 27
(a) As used in this section: 28
(1) "Agricultural equipment and machinery" means implements used 29
exclusively and directly in a commercial agricultural production in this 30
state; and 31
(2) "Timber equipment and machinery" means implements used 32
exclusively in the commercial production, harvesting, or processing of timber 33
in this state. 34
(b) The gross receipts or gross proceeds derived from the sale of 35
parts purchased to repair, either in whole or in part, existing agricultural 36 HB1506
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equipment and machinery or timber equipment and machinery are exempt from the 1
gross receipts tax levied by this chapter and the compensating use tax levied 2
by the Arkansas Compensating Tax Act of 1949, ยง 26 -53-101 et seq. 3
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SECTION 2. EFFECTIVE DATE. Section 1 of this act is effective on and 5
after January 1, 2024. 6
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