Taxation - small private forest holdings

Don Staples dstaples at
Wed Dec 11 14:48:07 EST 1996

Scott Golden wrote:
> Ken,
>         In Colorado we have a program that was initiated and lobbied for
> in the state congress.  HB-1229 was passed several years ago and allows
> residential properties 40 acres or greater to be classified as
> agricultural if the owner is actively practicing forest management.  This
> results in a substantial tax savings.  It is not an "easy" loophole as
> some people claim,(such as county tax assessors) but requires a great deal
> of effort and a stewardship land ethic on the owners part.  Requirements
> are that the property be managed according to a forest management plan
> prepared by a professional forester with an annual operating plan.  There
> are yearly inspections to ensure that the "on-ground" work is being
> established and that a product is being marketed.
>         As a bonus we have also increased our membership in the American
> Tree Farm system and have a much healthier, more vigorous forest in our
> urban wildland interface to show for it.  Great program!
> Regards,
> Scott Golden
> Master Tree Farmer
> Larimer County Tree Farmers
> "Trees are the answer!"

Basically the same in Texas, except there is a ten acre minimum.  We have seen an 
increase in plans, county land owner groups, and more activism towards ad valorum taxes 
since the new system went into effect.  Many problems witht he local offices of the 
appraisal districts.  Basically no continuity between counties and a wide range of tax 
bases.  There is a current effort to standardize the tax base and costs of managment 
within the state.

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