AR SB299

Removes the $50,000 purchase price cap on the sales and use tax exemption for timber harvesting machinery, equipment, and related attachments sold to persons engaged primarily in timber harvesting.

Clarifies that the exemption applies to the gross receipts or gross proceeds from sales of machinery and equipment (new or used) and related attachments, rather than limiting exemption to the first $50,000 of purchase price.

Defines key terms including "Equipment" (complete systems operating exclusively in timber harvesting), "Harvesting of timber" (off-road equipment use from tree severance through field loading), "Machinery" (complete systems for timber harvesting), "Off-road equipment" (skidders, feller bunchers, delimbers, chippers, loaders, bulldozers with grapples), and "Primary activity" (principal business activity with more than 50% of business resources committed).

Specifies that repair or replacement parts for the machinery and equipment are not exempt from taxation.

Authorizes the Director of the Department of Finance and Administration to promulgate rules to administer the exemption as a rebate, effective July 1, 2014.