CO HB1162

Extends Colorado's state sales and use tax exemption for farm equipment to include visual, electronic identification, or matched pair ear tags and electronic identification readers used to scan ear tags on food animals.

Applies the exemption to ear tags and scanners used by farm operations to identify or track food animals, including animals used for food or in the production of food, effective September 1, 2019.

Clarifies that towns, cities, or counties that previously adopted farm equipment exemptions are not automatically required to exempt these ear tags and scanners, but may expressly amend their sales tax ordinances to include them.

Modifies Colorado Revised Statutes 39-26-716 to add ear tags and electronic identification readers to the definition of "farm equipment" regardless of purchase price.

Takes effect at 12:01 a.m. on August 2, 2019, subject to a potential referendum petition requiring voter approval in November 2020.