Do You Qualify For Reduced Property Taxes?<\/p>\n
Current Use Taxation<\/p>\n
\u00a0<\/strong>Current Use taxation designations provide landowners a tax break when their land use meets the criteria for farm\/agricultural, timber land, open space, and forest land. Current use lands are taxed according to the value of the current use instead of the market value for development, such as residential, commercial, or industrial use. The development value is often called a land\u2019s \u201chighest and best use\u201d which means its highest economic value if sold. However, these programs only defer taxes while the land remains in the designated current use. For this reason, landowners should plan to maintain these designations for the long-term. As outlined later, penalties make short-term classification costly.<\/p>\n Current use taxation promotes residents\u2019 quality of life by preserving working landscapes that provide aesthetic, economic, and social benefits in the form of farms, forests, and open space. Encouraging these land uses also protects the quality of our water by maintaining vegetation and landscapes that filter and absorb storm water.<\/p>\n Requirements. <\/em>For the three options below, applications require the signature of all owners of the land, a legal description, a site plan, and copies of IRS Farm Income Schedules for three of the previous five years. In some cases, a Farm Management Plan may be required.<\/p>\n Option One Criteria. <\/em>Parcels or adjoining parcels must be twenty acres or more: 1) devoted mostly to livestock production or commercial agricultural commodity production; OR 2) registered in a federal conservation reserve program.<\/p>\n Option Two Criteria. <\/em>Parcels or adjoining parcels must be less than twenty acres, but at least five acres in size generating at least<\/p>\n $200 per acre annually in commercial agricultural products during three of the preceding five years.<\/p>\n Option Three Criteria. <\/em>Parcels must be less than five acres generating at least $1,500 per acre annually in commercial agricultural products during three of the preceding five years.<\/p>\n Qualifying lands can include up to 20% of the land in compatible incidental uses (such as a woodlot) along with buildings necessary to produce, prepare, or sell the agricultural products (e.g., barns, sheds) although potted nursery stock and greenhouse production may not count in Clark County.<\/p>\n Requirements<\/em>. Applications require the signature of all owners of the land and a Timber Management Plan.<\/p>\n Timber Land: Designated Forest Land:<\/em><\/p>\n Requireme<\/em>nts. Applications require the signature of all owners of the land and relevant documentation supporting the classification.<\/p>\nTypes of Current Use Taxation<\/h1>\n
Farm and Agricultural Land<\/h2>\n
Timber Land and Designated Forest Land<\/h2>\n
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Open Space<\/h2>\n
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