House Bill 2275, which clarifies an existing tax exemption ensuring the fairness and consistency of agricultural tax, passed out of the Arizona State House of Representatives’ Ways and Means Committee yesterday. Arizona is one of only two states being taxed on fertilizer, causing many Arizona growers to cross state lines to purchase their inputs, ultimately affecting the state’s economy.
Passing HB2275 will alleviate the disadvantage Arizona agribusinesses face, ensuring essential agricultural inputs are exempt from sales tax. This bill still needs to be voted on by the full House of Representatives and Senate.
Farmers rely heavily on propagative plant materials, which may include fertilizers, crop protection products, soil additives and seedlings to ensure healthy and abundant crops. As one of Western Growers’ main priorities this legislative session, we understand the effect this has on farmers and will continue to update members on the status of this bill.
For more information regarding Arizona HB2275 contact AnnaMarie Knorr at (602) 451-0658