Colorado (Summary)
Last Updated: March 2020
Tax Type: Current Use Tax
Description: The "actual value" of agricultural lands, exclusive of building improvements thereon, shall be determined by consideration of the earning or productive capacity of such lands during a reasonable period of time, capitalized at a rate of (13%) thirteen percent.
Law: Colo. Rev. Stat. §§ 39-1-102 to 39-1-104
Objective:
(a) The preservation of land areas for outdoor recreation, the education of the public, or the protection of a relatively natural habitat for fish, wildlife, plants, or similar ecosystems; or
(b) The preservation of open space, including farmland and forest land, where such preservation is for the scenic enjoyment of the public or is pursuant to a clearly delineated federal, state, or local government conservation policy and where such preservation will yield a significant public benefit.
Principal Forest Property Tax Incentive Program
Program legal-common name: General property tax program (Forest Ag Program)
Program Requirements
Min/Max Acreage: at least 40 forested acres
Min. Stocking Growth: 10% by forest trees
Forest Management Plan: The landowner must submit a Colorado State Forest Service-approved forest management plan that is prepared by a professional forester or natural resources professional.
Duration of Enrollment: N/A
Evidence of Use: The CSFS must also annually inspect each parcel of land subject to a forest management plan to determine if the terms and conditions of the plan are being complied with.
Penalties for Use Change:
Program Administration
State: Colorado State Forest Service (CSFS) administers the program. Only landowners who comply with the Forest Ag Program will be recommended by the CSFS to the respective county assessor for ag land classification.
County Tax Assessor and Commissioner: The assessors annually review the CSFS list of eligible and noneligible properties and determine land classification. They also perform valuation and assessment accounting to appropriate valuation method.
University: N/A
Landowners: The landowner must submit a CSFS approved forest management plan. They must annually submit 1) a request for inspection, 2) an inspection fee, 3) an accomplishment report, and 4) an annual work plan for the following year, and have the enrolled property inspected by a CSFS forester.
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