Form FA-1 - Farmland Assessment Application
Farmland Sketch Form (To be filed with Form FA-1)
Supplemental Farmland Form - Gross Income Statement (To be filed with Form FA-1)
List of Approved Foresters
GENERAL - The term “farmland assessment” shall refer to valuation, assessment and taxation under the Farmland Assessment Act, C. 48, L. 1964, N.J.S.A. 54:4-23.1, et seq. Only one application form in duplicate shall be filed for each farm made up of contiguous land. Application form is to be filed with local tax assessor.
GENERAL QUALIFICATIONS - Land may be eligible for “farmland assessment” when it meets the following qualifications:
a. It has been actively devoted to agricultural or horticultural use for at least the 2 successive years immediately preceding the tax year for which “farmland assessment" is requested.
b. The area of the land actively devoted to agricultural or horticultural use, exclusive of the land upon which the farmhouse is located and such additional land as may be actually used in connection with the farmhouse, is not less than 5 acres.
c. Gross sales, fees, or payments average at least $500 annually on the first 5 acres and on all acreage above 5 acres average sales of $5.00 per acre on farmland and $0.50 per acre on woodland and wetland. (See N.J.S.A. 54:4-23.5)
d. Application by the owner for “farmland assessment” has been made on or before August 1 of the year immediately preceding the tax year (See N.J.S.A. 54:4-23.13a and 54:4-23.6)
BREAKDOWN OF LAND USE CLASSES
#2 “Cropland Pastured.” - This is land that can be and often is used to produce crops but its maximum income may not be realized in a particular year.
#3 “Permanent Pasture.” - This is land that is not cultivated because its maximum economic potential is realized from grazing or as part of erosion control programs. Animals may or may not be part of the farm operation for land to be qualified in this category.
#4 “Non-appurtenant Woodland.” - This is woodland devoted exclusively to the production for sale of trees and forest products, except for Christmas trees. The owner of this classification of woodland must submit information noted under excerpt N.J.A.C. 18:15-2.7.
#5 “Appurtenant Woodland.” - This is woodland which is not devoted to the production for sale of trees and forest products, but nevertheless can be eligible for farmland assessment on the basis of being "beneficial to a tract of land" which is 5 acres or more and is otherwise actively devoted and qualified farmland (land uses #1, 2, or 3). Generally, only woodland acreage less than the otherwise actively devoted qualified farmland acreage (land uses #1, 2, or 3) will be considered as “appurtenant woodland”. Woodland acreage exceeding the otherwise actively devoted farmland should only be entered as "appurtenant woodland" when proof of its benefit to the otherwise actively devoted farmland can be explained and substantiated to the assessor.
“Acres Used for Boarding, Rehabilitating or Training Livestock.” For this acreage to be deemed actively devoted to an agricultural use it must be contiguous to land which otherwise qualifies for farmland assessment.
“Land Under And Land Used in Connection With Farmhouse.” This is land on which a farmhouse is located, together with such land area as may be devoted to lawns, flower gardens, shrubs, swimming pools, tennis courts and like purposes related to the use and enjoyment of the farmhouse. This is land not deemed to be in agricultural or horticultural use and, therefore, is assessed and taxed in accordance with the true value standard.
“All Other Land Not Devoted To Agricultural Or Horticultural Use.” This is land other than used in connection with the farmhouse that is not devoted to an agricultural or horticultural use nor is it necessary to support or enhance land actively devoted to an agricultural or horticultural use. This land will be assessed and taxed in accordance with the true value standard.
Certain land uses shall be considered to be in the categories as noted below:
CHANGE IN USE-ALL APPLICANTS PLEASE NOTE
b. In the case of a change in use, the roll-back taxes shall be applicable in the year in which the change took place and in such of the 2 tax years, immediately preceding, in which the land was valued, assessed and taxed under the Farmland Assessment Act.
FARMLAND ASSESSMENT EXCERPTS
EXCERPTS FROM N.J.S.A. 54:4-23.1 et seq.
N.J.S.A. 54:4-23.4 - Land shall be deemed to be in horticultural use when devoted to the production for sale of fruits of all kinds, including grapes, nuts and berries; vegetables; nursery, floral ornamental and greenhouse products; or when devoted to and meeting the requirements and qualifications for payments or other compensation pursuant to a soil conservation program under an agreement with an agency of the federal government.
N.J.S.A. 54:4-23.5 - Land, five acres in area, shall be deemed to be actively devoted to agricultural or horticultural use when the amount of the gross sales of agricultural or horticultural products produced thereon, any payments received under a soil conservation program, fees received for breeding, raising or grazing any livestock, income imputed to land used for grazing in the amount determined by the State Farmland Evaluation Advisory Committee created pursuant to section 20 of P.L. 1964, c.48 (C.54:4-23.20), and fees received for boarding, rehabilitating or training any livestock where the land under the boarding, rehabilitating or training facilities is contiguous to land which otherwise qualifies for farmland assessment, as long as income from one or more have averaged at least $500.00 per year during the 2-year period immediately preceding the tax year in issue, or there is clear evidence of anticipated yearly gross sales and such payments amounting to at least $500.00 within a reasonable period of time. In addition, where the land is more than five acres…(See instructions 2c)
N.J.S.A. 54:4-23.6 - Land which is actively devoted to agricultural or horticultural use shall be eligible for valuation, assessment and taxation as herein provided when it meets the following qualifications:
(a) It has been so devoted for at least the two successive years immediately preceding the tax year for which valuation under this act is requested;
(b) The area of such land is not less than five acres when measured in accordance with the provisions of section 11 hereof; and
(c) Application by the owner of such land for valuation hereunder is submitted on or before August 1 of the year immediately preceding the tax year to the assessor of the taxing district in which such land is situated on the form prescribed by the Director of the Division of Taxation in the Department of the Treasury;
(d) The assessor may grant an extension of time for filing an application required by this section, which extension shall terminate no later than September 1 of the year immediately preceding the tax year, in any event where it shall appear to the satisfaction of the assessor that failure to file by August 1 was due to (1) the illness of the owner and a certificate of a physician stating that the owner was physically incapacitated and unable to file on or before August 1 and the application is filed with the assessor; or (2) the death of the owner or an immediate member of the owner’s family and a certified copy of the death certificate and the application is filed with the assessor by the individual legally responsible for the estate of the owner, or the owner, as the case may be.
As used in this act, “immediate family member” means a person’s spouse, child, parent or sibling residing in the same household.
EXCERPTS FROM N.J.A.C.18:15-1 et seq.
“Beneficial to a tract of land” means land which enhances the use of other land devoted to agricultural or horticultural production by providing benefits such as, but not limited to, windbreaks, watershed, buffers, soil erosion control, or other recognizable enhancements of the viability of the qualifying land.
“Supportive and subordinate woodland" means a wooded piece of property which is beneficial to or reasonably required for the purpose of maintaining the agricultural or horticultural uses of a tract of land, which tract of land has a minimum area of at least five acres devoted to agricultural or horticultural uses other than to the production for sale of trees and forest products, exclusive of Christmas trees.
N.J.A.C. 18:15-2.7- Additional conditions to be fulfilled…
1. A copy of a woodland management plan prepared in accordance with provisions noted under N.J.A.C. 18:15-2.10;
2. A scaled map of the land showing the location of woodland activity and the soil group classes of the land; and
3. A completed woodland data form (Form WD-1), as prescribed by the Director of the Division of Taxation.
N.J.A.C 18:15-2.8 - Supportive and subordinate woodland presumption
(b) An owner claiming farmland assessment for a wooded piece of property exceeding the amount set forth in (a) above as presumed to be supportive and subordinate woodland shall submit an explanation and additional proofs the assessor may require to support the claim that such woodland is supportive arid subordinate.