A BILL TO BE ENTITLED
AN ACT to expand the exemption for farmers to include certain sales to a qualifying farmer for a zoo.
The General Assembly of North Carolina enacts:
SECTION 1.  G.S. 105‑164.13E is amended by adding a new subsection to read:
"(a1)	Zoo Exemption. – A qualifying farmer or conditional farmer who operates a zoo in addition to the farmer's farming operations is allowed a sales and use tax exemption under this subsection for the items used in the farmer's zoo operations. The income derived from the farmer's zoo operations is not included for purposes of determining if the farmer meets the qualifications for a qualifying farmer under subsection (a) of this section or the qualifications for a conditional farmer under subsection (b) of this section. The items that may be exempt from sales and use tax are the items listed under subsection (a) of this section that are purchased by a qualifying farmer or conditional farmer and used by the farmer primarily in zoo operations. The provisions of subsections (c) and (c1) of this section apply to the exemption provided in this subsection. For purposes of this subsection, an item is used in a farmer's zoo operations if it is used for the housing, raising, or feeding of animals for public display."
SECTION 2.  This act becomes effective January 1, 2023, and applies to sales made on or after that date.