Present Use Value for Farm Property Tax Reduction
go.ncsu.edu/readext?1054915
en Español / em Português
El inglés es el idioma de control de esta página. En la medida en que haya algún conflicto entre la traducción al inglés y la traducción, el inglés prevalece.
Al hacer clic en el enlace de traducción se activa un servicio de traducción gratuito para convertir la página al español. Al igual que con cualquier traducción por Internet, la conversión no es sensible al contexto y puede que no traduzca el texto en su significado original. NC State Extension no garantiza la exactitud del texto traducido. Por favor, tenga en cuenta que algunas aplicaciones y/o servicios pueden no funcionar como se espera cuando se traducen.
Português
Inglês é o idioma de controle desta página. Na medida que haja algum conflito entre o texto original em Inglês e a tradução, o Inglês prevalece.
Ao clicar no link de tradução, um serviço gratuito de tradução será ativado para converter a página para o Português. Como em qualquer tradução pela internet, a conversão não é sensivel ao contexto e pode não ocorrer a tradução para o significado orginal. O serviço de Extensão da Carolina do Norte (NC State Extension) não garante a exatidão do texto traduzido. Por favor, observe que algumas funções ou serviços podem não funcionar como esperado após a tradução.
English
English is the controlling language of this page. To the extent there is any conflict between the English text and the translation, English controls.
Clicking on the translation link activates a free translation service to convert the page to Spanish. As with any Internet translation, the conversion is not context-sensitive and may not translate the text to its original meaning. NC State Extension does not guarantee the accuracy of the translated text. Please note that some applications and/or services may not function as expected when translated.
Collapse ▲Farm properties that are not enrolled in the Present Use Value program can have property taxes that are much higher in comparison to other farms. Typically, horse farms have been harder to enroll, because the qualifying criteria of $1,000 of gross income per year must come from something produced on the farm, which doesn’t include boarding or training fees. Grazing fees, however, have been included for several years now. If you have 10 acres of pasture that you manage for grazing, you can sell that forage to another horse or livestock owner. In the animal industry, we call this “custom grazing”.
For those of you that may already have a boarder on your farm, consider breaking down your monthly invoices to separate stabling and facility fees from grazing fees to help meet the gross income requirement. Assuming a horse consumes about 2% of their bodyweight per day in forage and is able to meet all of its forage requirements on pasture during a typical grazing season (March through November), you can easily meet the yearly income requirement with one horse. To calculate, start by valuing the pasture consumed at what it would cost as a hay crop. So, if fescue hay costs about $9 per 50 lb. bale, then we can say it equates to $0.18 per pound of forage dry matter. In the previously mentioned scenario, where the horse consumes 100% of its forage requirement on pasture from late March through November, we’ll calculate daily forage consumed at 2% of a 1200 lb. horse to be 24 lbs., and then multiply by the number of days the horse was on pasture.
Example:
24 lbs. x $0.18 = $4.32 x 250 days = $1,080 income from grazing fees for
one horse.
Another example might include months where only a part of their forage requirements is met by the pasture. In this scenario, a horse meets 100% of their needs on pasture April through October, but only 50% in the months of March and November. The calculation would be as follows:
Example:
a. 24lbs. x 0.18 = $4.32 x 210 days = $907.20
b. 24lbs. x 50%= 12 lbs. x 0.18 x 60 days = $129.60
c. Total grazing fees for year: $907.20 + $129.60 = $1036.80 for that one horse
You’ll need to show three years of income to qualify for the program.