N.J. Admin. Code § 18:24-19.2
The following words and phrases, as used in this subchapter, shall have the following meanings, unless the context clearly indicates otherwise:
"Agricultural or horticultural commodities" means tangible personal property produced through the raising of plants or animals useful to people, with certain categories of exceptions noted below:
1. Examples of agricultural or horticultural commodities include, but are not limited to:
i. Vegetables;
ii. Fruits, nuts, and berries;
iii. Poultry and poultry products (for example, chickens, ducks, eggs);
iv. Game animals (for example, rabbits, quail);
v. Dairy animals and milk (for example, cows, goats);
vi. Grain (for example, corn, oats, wheat);
vii. Trees (for example, shade trees, Christmas trees) and forest products (for example, timber);
viii. Honey and other apiary products;
ix. Fur-bearing animals and their skins and fur (for example, sheep, minks);
x. Livestock and their meat (for example, cattle, pigs, sheep);
xi. Horses;
xii. Products of aquaculture (for example, tuna, oysters, waterlilies);
xiii. Sod;
xiv. Forage and fee crops (for example, soybeans, feed corn); and
xv. Ornamental plants (for example, flowers, yews).
2. Examples of tangible personal property not deemed to be agricultural or horticultural commodities include, but are not limited to:
i. Dogs and cats;
ii. Microscopic organisms raised in a laboratory (for example, penicillin); and
iii. Secondary commodities produced from agricultural or horticultural commodities (for example, jellies, ice cream, pies, wreaths, woolen fabrics, finished lumber).
"Aquaculture" means the propagation, raising, and harvesting for sale of aquatic organisms, in controlled or selected environments in which the farmer must actively intervene in the rearing process in order to effect, improve, or increase production for the purpose of sale.
"Automobiles" means motor vehicles designed to be used on public roadways and required to be registered as motor vehicles, other than vehicles that qualify for exemption pursuant to 54:32B-8.4 3(a)(1), (2), or (3). (See 18:24-7.18 )
"Conservation services" means services performed in order to conserve soil, water, soil nutrients, or other natural resources useful in the production of agricultural or horticultural commodities.
1. Conservation services are exempt only when used directly and primarily in the production and handling and preservation of agricultural or horticultural commodities for sale.
2. Examples of conservation services include, but are not limited to:
i. Aerial sowing of fall cover crop in a field of growing summer crops for purposes of soil nutrient management; and
ii. Applying mulch to growing crops during a drought to prevent moisture loss.
"Dairy farming" means the business of breeding, feeding, and raising of cattle and other milk-producing animals, and the production of feed for them by the owner of such animals, but does not include operations such as the making of butter, cheese, or ice cream.
"Energy" means natural gas or electricity as defined in 54:32B-2(gg).
"Farm animals" means animals that fall within the definition of agricultural commodities and animals that perform work used directly and primarily in production and handling and preservation of agricultural or horticultural commodities for sale.
1. Examples of farm animals include, but are not limited to:
i. Cows raised for their milk for sale;
ii. Pigs raised for their meat for sale;
iii. Horses bred and raised for sale;
iv. Draught animals used for productive farm work; and
v. Herding dogs used by a sheep farmer.
2. Examples of animals not deemed to be farm animals include, but are not limited to:
i. Farmer's pet dogs, hunting dogs, and watch dogs;
ii. Horses being boarded and trained for customers; and
iii. Animals not raised for sale, which are used on the premises where they are maintained for purposes other than farm work (for example, trout in a stream stocked for fishermen, animals in a petting zoo, horses in a riding academy).
"Farmer" means a person who owns, operates, or manages a farming enterprise for gain or profit.
"Farming enterprise" means a business or part of a business which, using land and improvements to the land, is engaged primarily in producing agricultural or horticultural commodities for sale.
1. Examples of farming enterprises include, but are not limited to:
i. A fruit orchard that raises apples, pears, and cherries for sale to the public;
ii. A tree nursery that grows trees for sale to contractors and property owners;
iii. A game farm that raises pheasants and other game animals for sale to butchers, supermarkets, and sporting clubs;
iv. A fish hatchery that raises fish for sale to restaurants, food stores, and fish processors;
v. A cranberry facility that grows cranberries for sale to distributors and food processors;
vi. A greenhouse that grows flowering plants for sale to retail stores;
vii. A sod farm that grows sod for sale to landscapers;
viii. A poultry farm that raises chickens for their meat and eggs for sale;
ix. A horse farm that breeds horses for sale to horse dealers and to the public;
x. A dairy farm that raises cows in order to sell their milk;
xi. A grain farm that produces crops for either human consumption or livestock forage; and
xii. A vegetable farm.
2. Examples of businesses not deemed to be farming enterprises include, but are not limited to:
i. A horse boarding business;
ii. A horse training business;
iii. A botanical garden primarily engaged in displaying plants;
iv. A hunting game preserve;
v. A lake that is stocked with trout for sporting and recreational use;
vi. Farmers' markets, produce stores, dairy product stores, and florist shops;
vii. A kennel that raises dogs for sale; and
viii. Rural property on which the owner may grow or raise horses, barnyard animals, flowers, vegetables, and fruits primarily for the owner's own use, rather than for sale.
"Handling and preservation" means the care and maintenance of farm animals and of agricultural or horticultural commodities for sale during production and up to the point when the commodity reaches a marketable state, and the prevention of spoilage or deterioration of agricultural or horticultural commodities for sale during and after production until they reach a marketable state.
"Production services" means services purchased by a farmer that are part of the process of planting, breeding, propagating, feeding, fertilizing, raising, or harvesting agricultural or horticultural commodities on that farmer's farming enterprise for the purpose of selling those commodities.
1. Examples of production services include, but are not limited to:
i. Plowing a field in preparation for planting;
ii. Spraying pesticide on a sod field;
iii. Shoeing horses used for breeding purposes;
iv. Shearing sheep raised for their wool; and
v. Picking and packing berries grown for sale.
2. Examples of services not deemed to be production services include, but are not limited to:
i. Cleaning a retail store facility operated by a farmer;
ii. Repairing farm production equipment;
iii. Grooming pet horses;
iv. Making repairs on farm workers' housing; and
v. Storing farm equipment.
N.J. Admin. Code § 18:24-19.2