Maryland Tax - General Section 11-201

      (a)      The sales and use tax does not apply to a sale of the following items for an agricultural purpose:

            (1)      livestock;

            (2)      feed or bedding for livestock;

            (3)      seed, fertilizer, fungicide, herbicide, or insecticide;

            (4)      baler twine or wire;

            (5)      fuel for use in farm equipment or a farm tractor, as defined in §§ 11-120 and 11-121 of the Transportation Article; and

            (6)      if bought by a farmer:

                  (i)      a container to transport farm products that the farmer raises to market;

                  (ii)      a farm vehicle, as defined in § 13-911(d) of the Transportation Article, when used in farming;

                  (iii)      a milking machine, when used in farming;

                  (iv)      fabrication, processing, or service, by a sawmill, of wood products for farm use in which the farmer retains title; and

                  (v)      farm equipment when used to:

                        1.      raise livestock;

                        2.      prepare, irrigate, or tend the soil; or

                        3.      plant, service, harvest, store, clean, dry, or transport seeds or crops.

      (b)      Except for flowers, sod, decorative trees and shrubs, and any other product that usually is sold by a nursery or horticulturist, the sales and use tax does not apply to a sale of an agricultural product by a farmer.