Current use is a phrase used to describe the present condition of

land use Land use involves the management and modification of natural environment or wilderness into built environment such as settlements and semi-natural habitats such as arable fields, pastures, and managed woods. Land use by humans has a long ...

and the corresponding scheme for

property tax A property tax or millage rate is an ad valorem tax on the value of a property.In the OECD classification scheme, tax on property includes "taxes on immovable property or net wealth, taxes on the change of ownership of property through inhe ...

incentives for qualifying land owners (typically rural) who wish to preserve open space and avoid having their property assessed at the "best and highest" use that could be made of it (i.e., a housing development or a commercial use). The statutes provide significant savings when the land is ''currently in use'' for

farming Agriculture or farming is the practice of cultivating plants and livestock. Agriculture was the key development in the rise of sedentary human civilization, whereby farming of domesticated species created food surpluses that enabled peopl ...

(

agriculture Agriculture or farming is the practice of cultivating plants and livestock. Agriculture was the key development in the rise of sedentary human civilization, whereby farming of domesticated species created food surpluses that enabled people t ...

and

horticulture Horticulture is the branch of agriculture that deals with the art, science, technology, and business of plant cultivation. It includes the cultivation of fruits, vegetables, nuts, seeds, herbs, sprouts, mushrooms, algae, flowers, seaweeds and no ...

silviculture Silviculture is the practice of controlling the growth, composition/structure, and quality of forests to meet values and needs, specifically timber production. The name comes from the Latin ('forest') and ('growing'). The study of forests and wo ...

, or comprises wetlands, or even unproductive woods or barrens. Further discounts may accrue if the land owner is willing to file a recreational

easement An easement is a nonpossessory right to use and/or enter onto the real property of another without possessing it. It is "best typified in the right of way which one landowner, A, may enjoy over the land of another, B". An easement is a propert ...

permitting the unimpeded public to come upon the land for non-motorized recreation (e.g., hiking, hunting, bicycling, bird-watching, etc.). Some jurisdictions require a qualifying submittal of a " stewardship plan" for woodlands, while others (including

New Hampshire New Hampshire is a state in the New England region of the northeastern United States. It is bordered by Massachusetts to the south, Vermont to the west, Maine and the Gulf of Maine to the east, and the Canadian province of Quebec to the nor ...

) provide further tax reductions for these optional inclusions.

Soils Soil, also commonly referred to as earth or dirt, is a mixture of organic matter, minerals, gases, liquids, and organisms that together support life. Some scientific definitions distinguish ''dirt'' from ''soil'' by restricting the former ter ...

data must often be included for requests related to agricultural areas. Based upon a modest tax assessment of land that remains undeveloped, the "current use" abatement and recreational easement can result in very affordable tax bills. The reduced burden may help postpone the decision to divide and sell off portions of the undeveloped land as local tax rates climb. The public benefits from the continued presence (or recreational enjoyment) of unfragmented and undeveloped areas until development plans overtake the current use incentives. In New Hampshire,

USA The United States of America (U.S.A. or USA), commonly known as the United States (U.S. or US) or America, is a country primarily located in North America. It consists of 50 states, a federal district, five major unincorporated territori ...

, the owner of ten or more contiguous acres can file for the current use abatement for that portion of land not currently covered by structures or other improvements. The same application form is used to request the recreational easement, which is then recorded in the county

registry of deeds Recorder of deeds or deeds registry is a government office tasked with maintaining public records and documents, especially records relating to real estate ownership that provide persons other than the owner of a property with real rights over ...

. The abatement then persists until the land is subdivided or developed, at which time the local tax authority can reclaim some of the deferred taxes through a "change of use" tax. The recreation easement may also be revoked (or suspended for three years) if the land owner posts the property against trespassing. There is often an influx of new "current use" requests each time a town increases its assessments of open space, and the impact of this factor must be anticipated in the municipal tax budget. For example, a town with non-participating parcels may have only a net tax increase in the first-year after a higher assessment as many remaining qualified open parcels will join the current use program. Once they obtain the statutory abatement, they may actually pay less tax than before the higher assessments were imposed.

References

External links

NH RSA CHAPTER 79-A: CURRENT USE TAXATION
Property taxes {{tax-stub

See also

References

External links