land taxing

[Woody]

How are most farm wood lots taxed when they are tapped for syrup? I had heard most are taxed non-agriculture but it seems the land owner could benefit from a tax basis if the trees were tapped if the land could be assessed as ag forest land.

thanks

[markcasper]

The taxes are 50% lower or more if you are tapping it in Wisconsin.

[Woody]

Do you know then if Wisconsin wood lots that are a part of a farm but are not pastured or tapped what tax catagory they fall in? I've heard the potential for reduced taxes from a tapping operation can sometimes be another incentive for land owners to lease thier woods.
I'm just getting started in this business so there's a lot I don't know.

Thanks

[markcasper]

I am not sure. It was once taxed as recreational property whether it augmented an active farm or not. That has changed in the past few years. Our woods was enrolled in the MFL in 2001. At that time the tax on farm woodland was the same as if a sportsmen owned it.

I know you must be actively farming to gain the reduced tax on woodland that joins your cropland. You'd have to talk to your local assesor.

I know that active tapped maple stands generally are taxed similar to crop and pasture ground. I am unsure if a non-farmer that starts tapping would be eligibal. I believe if a tax return was filed on behalf of a farming operation, then you'd qualify as a farmer and be able earn the lower rates. Leasing or renting the trees to another sugarmaker would qualify the land most definately.