What are Rollback Taxes on Agricultural property?
When property receives agricultural use classification, a portion of the taxes are deferred, not eliminated. When the property ceases to be used for agricultural purposes, the owner as of December 31 in the year the use change is liable for the difference between the amount of tax paid under agricultural use classification and the amount that would have been paid at full market value classification. These rollback taxes are recovered for the five years prior to the change in use of the property.
Related Questions
- Im selling some rural acreage that has a structure on it that is occupied seasonally for living quarters. How will this affect the capital gains tax on the sale of this property?
- When are rollback taxes levied for property that was in the Land Use Program, how are they calculated and how many years of rollback taxes are levied?
- What are Rollback Taxes on Agricultural property?
