CHAPTER 406

FORMERLY

SENATE BILL NO. 488

AN ACT TO AMEND CHAPTER 29, TITLE 30 OF THE DELAWARE CODE RELATING TO FEED AND GRAIN DEALER AND WHOLESALER LICENSE REQUIREMENTS.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:

Section 1. Amend §2904, Chapter 29, Title 30 of the Delaware Code by striking existing §2904 in its entirety and substituting in lieu thereof a new §2904 to read as follows:

"§2904. Commercial Feed Dealer License Requirements; License Fee; Additional Fee on Aggregate Gross Receipts; Statements Required

(a) Every person described in paragraph (7)c. of §2901 of this title engaged in the business of buying, selling and shipping commercial feeds shall be exempt from the provisions of §2902 of this Chapter and shall be subject to the provisions of this section.

(b) AU persons defined in subsection (a) of this section desiring to engage in business in this State shall first obtain a license from the Department of Finance and pay therefor a fee of $50 for each place of business. Such license shall be valid until the 1st day of January at which time it may be renewed for a full year and every year thereafter; provided, that the commercial feed dealer pays the fees required by subsection (c) of this section, makes application therefor and makes payment of $50 for each place of business.

(c)(l) In addition to the license fee required by subsection (b) of this section, every commercial feed dealer shall also pay a license fee at the rate of 1/10 of 1% of the aggregate gross receipts attributable to all goods delivered by the commercial dealer within this State, which fee shall be payable monthly on or before the twentieth day of each month with respect to the aggregate gross receipts for the immediate preceding month. The monthly returns shall be accompained by a certified statement on such forms as the Department of Finance shall require in computing the fee due.

(2) Notwithstanding paragraph (I) of this subsection. if the aggregate gross receipts prescribed therein for any month in the calendar quarter do not exceed $2.000, the return and payment of the additional license fee imposed for such month shall be due on or before the twentieth day of the first month following the close of such calendar quarter."

Section 2. Amend §2901, Chapter 29, Title 30 of the Delaware Code by striking the words "grains and" as those words appear in paragraph c. of subsection (7) of said section.

Section 3. Amend §2908, Chapter 29, Title 30 of the Delaware Code by striking existing subsection (a) of said section and substitute in lieu thereof a new subsection (a) to read as follows:

"(a) This Chapter shall not apply to the sale of unprocessed agricultural products, including nursery or floral products by:

(I) The owner or operator of a farm or nursery; or

(2) The owner or operator of any enterprise whose principal business in this State is the purchase and resale, at wholesale, of unprocessed and unpackaged agricultural plant products; provided such products are purchased from a person described in paragraph (I) of this subsection and further provided said purchase occurs within this State.

This Chapter shall not apply to the Incidental sale by the owner or operator of a farm or nursery of processed agricultural products on the assumption that the purchaser of such products has acquired the same for consumption or use and not for resale. Growers of nursery products shall be treated under this Chapter as retailers to the extent of sales at retail."

Section 4. This Act shall be effective for gross receipts received after December 31. 1986.

Approved July 3, 1986.