                                 CODE OF VIRGINIA

CLASSIFICATION OF FARM ANIMALS, CERTAIN GRAINS, AGRICULTURAL PRODUCTS, FARM
MACHINERY, FARM IMPLEMENTS AND EQUIPMENT; GOVERNING BODY MAY EXEMPT (§
58.1-3505)

A. Farm animals, grains and other feeds used for the nurture of farm animals,
agricultural products as defined in § 3.2-6400, farm machinery and farm
implements are hereby defined as separate items of taxation and classified as
follows:

   1. Horses, mules and other kindred animals.

   2. Cattle.

   3. Sheep and goats.

   4. Hogs.

   5. Poultry.

   6. Grains and other feeds used for the nurture of farm animals.

   7. Grain; tobacco; wine produced by farm wineries as defined in &#xA7; 4.1-100
   and other agricultural products in the hands of a producer.

   8. a. Farm machinery and farm implements other than the farm machinery and
   farm implements described in subdivision 10, which shall include (i) equipment
   and machinery used by farm wineries as defined in &#xA7; 4.1-100 in the
   production of wine; (ii) equipment and machinery used by a nursery for the
   production of horticultural products; (iii) any farm tractor as defined in
   &#xA7; 46.2-100, regardless of whether such farm tractor is used exclusively
   for agricultural purposes; (iv) motor vehicles that are used primarily for
   agricultural purposes, for which the owner is not required to obtain a
   registration certificate, license plate, and decal or pay a registration fee
   pursuant to &#xA7; 46.2-665, 46.2-666, or 46.2-670; and (v) privately owned
   trailers as defined in &#xA7; 46.2-100 that are primarily used by farmers in
   their farming operations for the transportation of farm animals or other farm
   products as enumerated in subdivisions 1 through 7. For purposes of this
   section, &#8220;nursery&#8221; means any premises where nursery stock is
   propagated, grown, fumigated, treated, packed, stored, or otherwise prepared
   for sale or distribution, and &#8220;nursery stock&#8221; means all trees,
   shrubs, woody vines (including ornamentals), bush fruits, grapevines, fruit
   trees, and nut trees offered for sale and distribution; all buds, grafts,
   scions, and cuttings from such plants; and any container, soil, and other
   packing material with such plants or plant products. &#8220;Nursery
   stock&#8221; also means herbaceous plants and any florist or greenhouse
   plants.
   				b. Farm machinery, farm equipment, and farm implements, other than farm
   machinery and farm implements described in subdivision 10, used by an indoor,
   closed, controlled-environment commercial agricultural facility, including
   property described in subdivisions 8 a and b of &#xA7; 58.1-609.2, for the
   production of agricultural products. For purposes of this subdivision,
   &#8220;indoor, closed, controlled-environment commercial agricultural
   facility&#8221; shall include indoor vertical farming or a greenhouse.

   9. Equipment used by farmers or farm cooperatives qualifying under &#xA7; 521
   of the Internal Revenue Code to manufacture industrial ethanol, provided that
   the materials from which the ethanol is derived consist primarily of farm
   products.

   10. Farm machinery designed solely for the planting, production or harvesting
   of a single product or commodity.

   11. Unless exempted by subdivision 8, privately owned trailers as defined in
   &#xA7; 46.2-100 that are primarily used by farmers in their farming operations
   for the transportation of farm animals or other farm products as enumerated in
   subdivisions 1 through 7.

   12. Unless exempted by subdivision 8, motor vehicles that are used primarily
   for agricultural purposes, for which the owner is not required to obtain a
   registration certificate, license plate, and decal or pay a registration fee
   pursuant to &#xA7; 46.2-665, 46.2-666, or 46.2-670, or pickup or panel trucks
   or sport utility vehicles for which the owner is required to obtain a
   permanent farm use placard pursuant to &#xA7; 46.2-684.2.

   13. Trucks or tractor trucks as defined in &#xA7; 46.2-100, that are primarily
   used by farmers in their farming operations for the transportation of farm
   animals or other farm products as enumerated in subdivisions 1 through 7 or
   for the transport of farm-related machinery.

   14. Farm machinery and farm implements, other than the farm machinery and farm
   implements described in subdivisions 8 and 10, which shall include equipment
   and machinery used for forest harvesting and silvicultural activities.

   15. Farm machinery and farm implements, other than the farm machinery and farm
   implements described in subdivisions 8, 10, and 14, which shall include
   season-extending vegetable hoop houses used for in-field production of
   produce.

B. The governing body of any county, city or town may, by ordinance duly
adopted, exempt in whole or in part from taxation, or provide a different rate
of tax upon, all or any of the above classes of farm animals, grains and feeds
used for the nurture of farm animals, farm vehicles, and farm machinery,
implements or equipment set forth in subsection A.

C. Grain; tobacco; wine produced by farm wineries as defined in &#xA7; 4.1-100;
and other agricultural products, as defined in &#xA7; 3.2-6400, shall be exempt
from taxation under this chapter while in the hands of a producer.

HISTORY: 1976, c. 560; 1979, c. 576; 1980, c. 314; 1984, cc. 150, 675; 1993, c.
866; 1998, c. 332; 2004, c. 556; 2012, c. 272; 2018, cc. 30, 618; 2019, c. 259;
2020, c. 251; 2023, cc. 85, 86, 344; 2024, cc. 87, 88.