1.GENERAL-For
the purpose of these instructions, 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. If an entry is made in Section II, line
4, Form WD-1 (woodland data form) must also be filed with this
application.
2.
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)
SECTION
I - IDENTIFICATION INFORMATION-Complete the information noted
under this Section for items 1 through 8.
For
item #1, "Owner's Name," List every individual, partnership or
corporation having an interest in the land as owner.
For items #4 and #8c, The landowner must enter his or her social security
number in item #4. If the farm operator is not the owner of the land, his
or her social security number is to be entered in item 8c. The Federal
Privacy Act of 1974 requires an agency requesting information to inform
individuals from whom it seeks information why the request is being made
and how the information is being used. Your social security number and
the farm operator's social security number will be used primarily to identify
and consolidate parcels of land under the same ownership and/or being farmed
by the same operator. It is also used in the administration and enforcement
of all tax laws for which the New Jersey Division of Taxation has statutory
responsibility.
For item #6, "Blocks and Lots," State block(s) and lot(s) as shown on the
official tax map or page(s) and line(s) on the current year's tax list
that make up a farm unit of contiguous land. This information may be obtained
from your tax bill.
SECTION
II - BREAKDOWN OF LAND USE CLASSES-Complete the information
noted under this Section for items 1 through 12.
For
item #1, "Cropland Harvested," This is land that is the heart of
a farming enterprise and represents the highest use of land in
agriculture. All land from which a crop was harvested in the current
year falls into this category.
For item #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.
For item #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.
For item #4, "Non-appurtenant Woodland," This is woodland devoted exclusively
to the production for sale of trees and forest products, except for Christmas
trees which should be entered in the cropland harvested classification
(item #1). Also woodland which is not "supportive and subordinate" to land
entered in land use classification #1, 2, or 3 should be entered under
this' classification (Item #4). The owner of this classification of woodland
must submit information noted under excerpt N.J.A.C. 18:15-2.7.
For item #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.
For item #6, "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.
For item #8, "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.
For item #9, "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.
For item #12 enter "YES" or "NO".
For
purposes of this application certain land uses shall be considered
to be in the categories as noted below:
Land
Use
Category
Land
Use
Category
Land
under farm buildings
Cropland
Harvested
Nurseries,
Christmas trees
Cropland
Harvested
Swampland,
wetland
Appurtenant
Woodland
Crops
grown under glass
Cropland
Harvested
Lakes,
ponds, streams, irrigation ditches
Appurtenant
Woodland
Wood
and forest products
Non-appurtenant
Woodland
Land
in government programs
Cropland
Harvested
Seasonal
Farm Markets
Agricultural Labor Housing
Cropland
Harvested
SECTION
III - CURRENT YEAR FARMING ACTIVITY-Complete this Section
by inserting the current year acreage or other information that
is specified.
SECTION
IV - SIGNATURE AND VERIFICATION-In the case of multiple ownership,
one of the owners may sign on behalf of the other co-owners,
except corporate co-owners. Any such signer will be presumed
to have authority to sign in behalf of the other non-corporate
owners. In the case of a corporate owner, the full name of the
corporation must be separately filled in, accompanied by the
signature and the title of the corporate officer authorized to
sign the application in its behalf.
CHANGE
IN USE-ALL APPLICANTS PLEASE NOTE
a.
When land,
which is in agricultural or horticultural use and is being valued
under the Farmland Assessment Act, is applied to a use other than
agricultural or horticultural, it is subject to additional taxes,
referred to as roll-back taxes, in an amount equal to the difference,
if any, between the taxes paid or payable on the basis of "Farmland
Assessment" and the taxes that would have been paid or payable
had the land been valued, assessed and taxed as other land in the
taxing district.
b.
In the case
of a change in use, the roll-back tastes shall be applicable in
the year in which the change tools 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.
EXCERPTS
FROM N.J.S.A. 54:4-23.1 et seq.
N.J.S.A.
54:4-23.3 - Land shall be deemed to be in agricultural use when
devoted to the production for sale of plants and animals useful
to man, including but not limited to: forages and sod crops; grains
and feed crops; dairy animals and dairy products; poultry and poultry
products; livestock, including beef cattle, sheep, swine, horses,
ponies, mules or goats, including the breeding, boarding, raising,
rehabilitating, training or grazing of any or all of such animals,
except that "livestock" shall not include dogs; bees and apiary
products; fur animals; trees and forest 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 .... (See
N.J.A.C. 18:15-2.7 for additional conditions imposed on woodland
not deemed to be appurtenant.)
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. 18:15-1.1 et seq.
(Adopted pursuant to P.L. 1986, c 201)
N.J.A.C.
18:15-1.1 "Appurtenant woodland" means a wooded piece of property
which is contiguous to, part of, or beneficial to 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 the production
for sale of trees and forest products, exclusive of Christmas trees,
to which tract of land the woodland is supportive and subordinate.
" 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...
a.
The owner
of land which is devoted exclusively to the production for sale
of trees and forest products other than Christmas trees or the
owner of woodland which is not supportive and subordinate woodland
shall annually submit to the assessor, in addition to a completed
and timely filed application for farmland assessment (Form FA-1),
the following accompanying information:
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 a WD-1), as prescribed by the Director
c . . Division of Taxation.
N.J.A.C.
18:15-2.8-Supportive and subordinate woodland presumption
a.
A wooded
piece of property as described in the definition of supportive
and subordinate woodland in N.J.A.C. 18:15-1.1 shall be presumed
to be supportive and subordinate woodland when its area is less
than the area of the farmland property qualifying for agricultural
or horticultural uses other than the production for sale of trees
and forest products, exclusive of Christmas trees.
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 and subordinate.
