06/07/06 Parts tax exempt applications slow

Washington Ag June 7, 2006 Farmers aren't applying in the numbers anticipated for the certificate they need to take advantage of the sales tax exemption on machinery replacement parts that takes effect July 1st. Joanne Gordon with the state Department of Revenue says only 370 applications had been received as of last Friday. If producers wait until the end of June, there could be a backup on processing the applications. Gordon: "The department is estimating that there is roughly between 15 and 30-thousand farmers who are potentially eligible for the exemption. So because of the anticipated volume here and the approaching date for the exemption to take effect, we are encouraging farmers to apply for the exemption certificate sooner rather than later." Revenue is testing an automated mailing system for sending the approved certificates back to producers. Gordon: "Our first mailing will go out on June 20th and then after that they will go out on a daily basis as they are approved." The application form and information about the replacement parts tax exemption are on Revenue's website at www.dor.wa.gov Tomorrow, some common mistakes Revenue is seeing in applications. I'm Bob Hoff.