Current use
Encyclopedia
Current use is a phrase used to describe the present condition of land use
and corresponding scheme for property tax
incentives for qualifying land owners (typically rural) who wish to preserve open space and avoid having their property assessed at the "best and highest" use that could be made of it (i.e., a housing development or a commercial use). The statutes provide significant savings when the land is currently in use for farming (agriculture
and horticulture
), silviculture
, or comprises wetlands, or even unproductive woods or barrens. Further discounts may accrue if the land owner is willing to file a recreational easement
permitting the unimpeded public to come upon the land for non-motorized recreation (e.g., hiking, hunting, bicycling, bird-watching, etc). Some jurisdictions require a qualifying submittal of a "stewardship
plan" for woodlands, while others (including New Hampshire
) provide further tax reductions for these optional inclusions. Soils
data must often be included for requests related to agricultural areas.
Based upon a modest tax assessment of land that remains undeveloped, the "current use" abatement and recreational easement can result in very affordable tax bills. The reduced burden may help postpone the decision to divide and sell off portions of the undeveloped land as local tax rates climb. The public benefits from the continued presence (or recreational enjoyment) of unfragmented and undeveloped areas until development plans overtake the current use incentives.
In New Hampshire, USA
, the owner of ten or more contiguous acres can file for the current use abatement for that portion of land not currently covered by structures or other improvements. The same application form is used to request the recreational easement, which is then recorded in the county registry of deeds
. The abatement then persists until the land is subdivided or developed, at which time the local tax authority can reclaim some of the deferred taxes through a "change of use" tax. The recreation easement may also be revoked (or suspended for three years) if the land owner posts the property against trespassing.
There is often an influx of new "current use" requests each time a town increases its assessments of open space, and the impact of this factor must be anticipated in the municipal tax budget. For example, a town with non-participating parcels may have only a net tax increase in the first-year after a higher assessment as many remaining qualified open parcels will join the current use program. Once they obtain the statutory abatement, they may actually pay less tax than before the higher assessments were imposed.
See NH RSA 79-A
Land use
Land use is the human use of land. Land use involves the management and modification of natural environment or wilderness into built environment such as fields, pastures, and settlements. It has also been defined as "the arrangements, activities and inputs people undertake in a certain land cover...
and corresponding scheme for property tax
Property tax
A property tax is an ad valorem levy on the value of property that the owner is required to pay. The tax is levied by the governing authority of the jurisdiction in which the property is located; it may be paid to a national government, a federated state or a municipality...
incentives for qualifying land owners (typically rural) who wish to preserve open space and avoid having their property assessed at the "best and highest" use that could be made of it (i.e., a housing development or a commercial use). The statutes provide significant savings when the land is currently in use for farming (agriculture
Agriculture
Agriculture is the cultivation of animals, plants, fungi and other life forms for food, fiber, and other products used to sustain life. Agriculture was the key implement in the rise of sedentary human civilization, whereby farming of domesticated species created food surpluses that nurtured the...
and horticulture
Horticulture
Horticulture is the industry and science of plant cultivation including the process of preparing soil for the planting of seeds, tubers, or cuttings. Horticulturists work and conduct research in the disciplines of plant propagation and cultivation, crop production, plant breeding and genetic...
), silviculture
Silviculture
Silviculture is the practice of controlling the establishment, growth, composition, health, and quality of forests to meet diverse needs and values. The name comes from the Latin silvi- + culture...
, or comprises wetlands, or even unproductive woods or barrens. Further discounts may accrue if the land owner is willing to file a recreational easement
Easement
An easement is a certain right to use the real property of another without possessing it.Easements are helpful for providing pathways across two or more pieces of property or allowing an individual to fish in a privately owned pond...
permitting the unimpeded public to come upon the land for non-motorized recreation (e.g., hiking, hunting, bicycling, bird-watching, etc). Some jurisdictions require a qualifying submittal of a "stewardship
Stewardship
Stewardship is an ethic that embodies responsible planning and management of resources. The concept of stewardship has been applied in diverse realms, including with respect to environment, economics, health, property, information, and religion, and is linked to the concept of sustainability...
plan" for woodlands, while others (including New Hampshire
New Hampshire
New Hampshire is a state in the New England region of the northeastern United States of America. The state was named after the southern English county of Hampshire. It is bordered by Massachusetts to the south, Vermont to the west, Maine and the Atlantic Ocean to the east, and the Canadian...
) provide further tax reductions for these optional inclusions. Soils
Soil functions
Soil functions are general capabilities of soils that are important for various agricultural, environmental, nature protection, landscape architecture and urban applications...
data must often be included for requests related to agricultural areas.
Based upon a modest tax assessment of land that remains undeveloped, the "current use" abatement and recreational easement can result in very affordable tax bills. The reduced burden may help postpone the decision to divide and sell off portions of the undeveloped land as local tax rates climb. The public benefits from the continued presence (or recreational enjoyment) of unfragmented and undeveloped areas until development plans overtake the current use incentives.
In New Hampshire, USA
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
, the owner of ten or more contiguous acres can file for the current use abatement for that portion of land not currently covered by structures or other improvements. The same application form is used to request the recreational easement, which is then recorded in the county registry of deeds
Deeds registration
Deeds registration is a land registration system in common law jurisdictions. It is replaced by Torrens title in most of these jurisdictions now, although a few of them, like most of the United States, still maintain such system...
. The abatement then persists until the land is subdivided or developed, at which time the local tax authority can reclaim some of the deferred taxes through a "change of use" tax. The recreation easement may also be revoked (or suspended for three years) if the land owner posts the property against trespassing.
There is often an influx of new "current use" requests each time a town increases its assessments of open space, and the impact of this factor must be anticipated in the municipal tax budget. For example, a town with non-participating parcels may have only a net tax increase in the first-year after a higher assessment as many remaining qualified open parcels will join the current use program. Once they obtain the statutory abatement, they may actually pay less tax than before the higher assessments were imposed.
See NH RSA 79-A