Legal Resources - Tax Rules

Tax Rules: Final: 5703-3

5703-3-29 Personal property leased and used exclusively for agricultural purposes not subject to personal property tax.

(A) Pursuant to section 5701.08 of the Revised Code, leased property used by the lessee exclusively for agricultural purposes is not considered "used in business" and, therefore, not subject to personal property tax under the provisions of division (B)(1) of section 5709.01 of the Revised Code.

(B) In order to verify that leased property is used by the lessee exclusively for agricultural purposes, the owner-lessor shall obtain a certificate from each lessee claiming to be using the leased property exclusively for agricultural purposes. The certificate shall be retained with the pertinent lease records. If the use of the property changes from exclusive agricultural use the lessee shall so notify the lessor who shall thereafter list the property for taxation.

A form not required to be prescribed by rule is available for use as a certificate of exclusive agricultural use. The form is not prescribed by or a part of this rule. The form may be obtained from the department of taxation and is available on the department’s web site. The form may be reproduced as needed.

Effective: 6-3-04

Promulgated under: 5703.14

Authorized by: 5703.05

Amplifies: 5703.14, 5701.08, 5709.01

Prior effective dates: 3-29-84