Hi Jamie,

I believe you had called a couple of weeks back to our Mercer County office. When I attempted to email, it looks like I had incorrectly written down your email as it bounced back. I

Here was the original items I had prepared via our phone conversation last month.

I believe most of the answer you are looking for are found in this law bulletin: https://farmoffice.osu.edu/sites/aglaw/files/site-library/Vendor%27s%20Licenses%20and%20Sales%20Taxes%20at%20Ohio%20Farmers%20Markets.pdf

Here is a couple of specific of questions and answers:

I want to sell grow annuals and sell the cut flowers. Do I need a nursery license? No. Ohio’s nursery dealer license requirement applies to those who sell or distribute “nursery stock,” which the law defines as any “hardy” tree, shrub, plant, bulb, cutting, graft, or bud, excluding turf grass. A “hardy” plant is one that is capable of surviving winter temperatures. Note that the definition of nursery stock also includes some non-hardy plants sold out of the state. Because annual flowers and cuttings from those flowers don’t fall into the definition of “nursery stock,” a seller need not obtain the nursery dealer license.

Must I collect sales tax on cut flowers that I sell? Yes. In agriculture, we’re accustomed to many items being exempt from Ohio’s sales tax. That’s not the case when selling flowers and plants directly to customers, which is a retail sale that is subject to the sales tax. The seller must obtain a vendor’s license from the Ohio Department of Taxation, then collect and submit the taxes regularly. Read more about vendor’s licenses and sales taxes in our law bulletin at this link.

Pay sales tax on your purchases for farm supplies? Whether a farmer must pay sales taxes on purchases depends upon the reason for purchasing the item. Farmers are exempt from paying sales taxes on items that are somehow incorporated into or used in the production of an agricultural product as described in Ohio Administrative Code § 5703-9-23. More information can be found on this link.

I mentioned the potential of some opportunities for USDA funded high tunnels through grant programs. Kay Holubik is the USDA District Conservationist for Mercer County. Her phone number is<personal data hidden>. Email <personal data hidden> . I think some of their deadlines for programs are on a annual basis and others are a rolling deadline. I am not sure which the high tunnel program fits into.

Thanks,

Ryan