(1) The market value for farm machinery and equipment shall be the "average wholesale" value as shown in the Iron Solutions, Northwest Region Official Guide, Fall Edition, for the year previous to the year of the assessment. This guide may be reviewed in the department or purchased from the publisher: North American Equipment Dealers Association, 1195 Smizer Mill Road, Fenton, Missouri 63026-3480.

(2) For all farm machinery and equipment that cannot be valued under (1), the department has developed a manual to value the equipment. This manual will be used in conjunction with the depreciation schedule in (5) when valuing farm equipment and machinery. The purpose of the manual developed by the department is to arrive at values which approximate average wholesale value. The department's farm machinery manual is hereby incorporated by reference. Customers can contact the department to obtain copies.

(3) For all farm machinery and equipment which cannot be valued under (1) and (2), the department shall try to ascertain the original FOB through old farm machinery and equipment valuation guidebooks. If an original FOB cannot be ascertained, the department may use trending to determine the FOB. The FOB or "trended" FOB will be used in conjunction with the depreciation schedule in (5) to arrive at a value that approximates average wholesale value.

(4) If the methods mentioned in (1) through (3) cannot be used to ascertain average wholesale value for farm machinery and equipment, the owner or applicant must certify to the department the year acquired and the acquired price before that value can be applied to the schedule in (5).

(5) The trended depreciation schedule referred to in (2) through (4) is listed below and shall be used for tax year 2010. The schedule is derived by using the guidebook listed in (1) as the data base. The values derived through use of the trended depreciation schedule will approximate average wholesale value.

YEAR NEW/ACQUIRED	TRENDED % GOOD AVERAGE WHOLESALE
2010	80%
2009	75%
2008	71%
2007	68%
2006	64%
2005	58%
2004	54%
2003	47%
2002	42%
2001	38%
2000	36%
1999	33%
1998	33%
1997	30%
1996	28%
1995	28%
1994 and older	23%

(6) If a piece of farm machinery or equipment's market value is below $100, it is exempt from taxation.

(7) This rule is effective for tax years beginning after December 31, 2009.