HB2326 Summary

• Amends the definition of "food product" in Arizona law to clarify that animal feed grown or raised by producers and sold as feed for livestock, poultry, or ratites (purchased or raised for slaughter or production) qualifies as a food product.

• Expands the prohibition on taxes, licenses, and fees imposed on producers and purchasers of food products to explicitly include purchasers of food products from producers.

• Exempts owners, proprietors, or tenants of agricultural lands or farms who sell livestock or poultry feed grown on their lands from certificate requirements when selling to persons who feed their own livestock/poultry, persons engaged in commercial livestock/poultry production, or persons engaged in commercial feeding or noncommercial boarding of livestock.

• Modifies the burden of proof for wholesale sales to allow exemption if a person is exempt from certificate requirements under the new agricultural feed provision, rather than only when a certificate is provided.

• Adds exemptions from retail sales tax and use tax for sales of livestock, poultry, and livestock/poultry feed (including salts, vitamins, and additives) sold to farmers, ranchers, producers, and those engaged in feeding livestock or noncommercial boarding.