Livestock nutrient management

From the 2024 DOR Tax Exemption Study

Det. No. 19-0156, 40 WTD 219 (December 30, 2021) 220 also operated a large dairy farm at the facility. On July 1, 2005, the company’s owners, . . . (“the Owners”), divided the real property and operations components of the dairy farm into two separate business entities. The purpose of the division was to “limit liability and to facilitate in estate planning for [the Owners.]” Attachment to Taxpayer’s Review Petition (“Attachment”), pg. 1. The Owners transferred the dairy’s real property assets to Taxpayer and the operations to . . . (“Operations”). Id. Taxpayer’s business activities consisted solely of holding the real property assets of the dairy, which Taxpayer leased to Operations. Taxpayer was not involved in operating the dairy and did not possess a license to produce milk during the period at issue in this case. Taxpayer sold its assets [in] 2017 and was dissolved with the Secretary of State [thereafter]. Between 2014 and 2016, Taxpayer made several purchases related to upgrading the dairy’s nutrient management system. A nutrient management system is a system of structures and equipment used for handling and treating livestock manure in order to protect surface and ground wat