Maryland
Assessment

Procedures
Manual

CATEGORY:

CONSERVATION PROPERTY TAX CEDIT

012

SUBJECT:

Application

200

TOPIC:

Requirements of the Department

010

Date Issued
7/16/86

Revision #6
4/1/07

 

001: Procedures
004: Owners
008: Taxable Property
009: Exemptions
012: Credits
014: Valuation
018: Operating Property of
Utilities and Railroads
019: Real Property
029: Notices
045: Assessment Records
067: Allowances and
Removal
229: Maryland Tax Court
232: Administration
255: Appeals
300: Triennial Assessments
350: Personal Property
375: Personal Property
 
Alphabetical Index
Numerical Index
 

 


     A property tax credit may be granted for land on which a perpetual conservation easement has been donated to the Maryland Environmental Trust or the Maryland Department of Natural Resources (See Title 9-107 of the Tax-Property Article). This credit will be effective for tax bills beginning with the 1987-88 tax year.

     The three requirements to be met are that the land is unimproved, non-commercial, and subject to a perpetual conservation easement. With regard to the third requirement, the perpetual easement must be donated to the Maryland Environmental Trust with the Maryland Environmental Trust identified as a grantee under Title 3, Subtitle 2 of the Natural Resources Article or to the Maryland Department of Natural Resources with the Department of Natural Resources identified as a grantee, and it must be approved after June 30, 1986 by the Board of Public Works.

      The property tax credit is effective for 15 consecutive years beginning July 1 following the donation of the easement. The property owner applies on the attached Conservation Property Tax Credit Application. The Conservation Property Tax Credit Application can only be completed after the easement is approved by the Board of Public Works, and the property owner must submit the application ON OR before October 1 to receive the credit for that taxable year. If the easement is donated after July 1, it can only qualify for the credit for the tax bill issued the next July 1. The original application is to be kept on file in the local Assessment Office.

     In terms of the calculation, the tax credit is applied to 100% of the assessment placed on the unimproved and non-commercial portion of the property placed in the easement. Unimproved homesites should carry a farm assessment value provided the land is actively farmed. Improved homesites or commercially used area should be assessed in the normal manner. If the property is not actively farmed, the land subject to the easement should be valued at $500 per acre (Tax-Property Article 8-209.1).

     Beginning with the first year and continuing for the fourteen years thereafter, the local Supervisor is to submit to the local government each year a copy of the assessment credit worksheet found on the reverse side of the Conservation Property Tax Credit Application.


 

Attachments: 1, 2


SDAT Home
Previous Next Updates