Forest Incentive Programs - Property Taxes for Vermont

Type of Tax

Flat tax, current values are set by an advisory board

Law

Agricultural & Managed Forest Use Value Program (32 Vt. Stat. Ann.) Chap. 124, subchapter 1

Objective

To encourage and assist the maintenance of Vermont’s productive agricultural and forest land, to prevent the accelerated conversion of these lands to more intensive use by the pressure of property taxation at values incompatible with the productive capacity of the land, and to achieve more equitable taxation of undeveloped land.

Requirements

Minimum of 25 acres

Must have a forest or conservation management plan approved by the Department of Forest, Parks, and Recreation

Plans and plan implementation are audited every 5 years by Department of Forest Parks and Recreation

If use changes, penalty is 20% of town's fair market value appraisal

Penalty reduces to 10% of town's fair market value appraisal for landowners who have been enrolled in the program over ten years

Program Administration

State Department of Forest, Parks and Recreation approves forest or conservation management plan. Department of Taxes and University faculty are on the current use advisory board.