Special Appraisal

Qualifying land used for agricultural purposes is eligible to be taxed based on its productive capacity, which offers substantial tax benefits. Whether you are a property owner looking to have your land valued based on its agricultural production, or a prospective buyer looking to purchase a property currently used for agricultural purposes, it is important to understand the benefits and consequences involved with this type of special appraisal.  Issues that often arise with ag properties include whether the property is currently being used to the degree and intensity accepted in the area, whether a change of use has occurred, and dealing with roll-back taxes. Harris Law can help you successfully apply for and obtain all types of special appraisals. We will also advocate for your property when a special appraisal is wrongfully denied.

Common types of special appraisal in the Texas Property Tax Code relate to agricultural, open-space, and timberland use. Each type of special appraisal has specific eligibility requirements that must be met, such as principal/primary use, degree and intensity, and time period requirements. When initially filing an application for special appraisal, it is important to include evidence that clearly demonstrates each requirement has been satisfied. Even when yearly reapplication is not required, it is also important to preserve evidence showing that the property continues to be used in the required capacity in case the chief appraiser erroneously claims a change of use has occurred or requires reapplication.

• 1-d-1 Open-Space Agricultural Use: Land that meets the definition of “Qualified open-space land” in the Texas Property Tax Code by being devoted principally to agricultural use and meeting the requisite use-and-intensity and duration requirements may qualify for a 1-d-1 Open-Space exemption. Unlike a 1-d Agricultural Use exemption, a 1-d-1 Open-Space exemption does not require reapplication each year, has no occupation or income requirements, and allows both individuals and corporations to qualify.
• 1-d Agricultural Use: When land is used for agriculture as an occupation or business venture for profit, and agriculture is the owner’s primary occupation and source of income, a 1-d agricultural exemption may apply.
• Timberland:  Owners of timberland in restricted zones and owners who harvest and reforest the land by seedling plantings or managed natural regeneration may qualify for this special use appraisal.
• Wildlife Management Use: Land on which the owner engages in wildlife management and which meets certain agricultural use requirements may qualify for special appraisal and is technically in agricultural use.