Virginia (Summary)
Last Updated: March 2020
Tax Type: Current Use Tax (based on site productivity) and Severance Tax
Description: A county, city or town may adopt an ordinance to provide for the use value assessment and taxation of property devoted to agricultural, horticultural, forest, or open-space use.
Law: Code of Virginia §§ 58.1-3230 and 58.1-3240
Principal Forest Property Tax Incentive Program:
Program name: General property tax program (forestry land use)
Objective: (i) Encourage the proper use of real estate to assure a readily available source of agricultural, horticultural and forest products, and of open space within reach of concentrations of population; (ii) Conserve natural resources in forms that will prevent erosion; (iii) Protect adequate and safe water supplies; (iv) Preserve scenic natural beauties and open spaces; (v) Promote proper land-use planning and the orderly development of real estate for the accommodation of an expanding population; and (vi) Promote a balanced economy and ease or lessen the pressures that force the conversion of real estate to more intensive uses.
Program Requirements
Min/Max Acreage: 20 or more contiguous acres
Min. Stocking Growth: At least 40% normal stocking of forest trees for productive forest land). Not specified for non-productive forest land.
Forest Management Plan: The owner must certify that the real estate is being used in a planned program of timber management and soil conservation practices. Certification of intent by the owner can be shown by a signed commitment to maintain and protect forestland or a plan prepared by a professional forester.
Duration of Enrollment: Indefinite
Penalties for Use Change: The roll-back tax payment is equal to the difference between the tax assessed on the basis of the use valuation and the taxes that would have been payable (property's fair market value) for the current year and for each of the five years immediately preceding the year of the change.
Program Administration
State: Virginia Department of Forestry establishes suggested forest use values and provides to the State Land Evaluation and Advisory Committee (SLEAC). The SLEAC determines and publishes a range of suggested values. The State Forester provides a state of uniform standards to determine if real estate is devoted to forest use and renders opinions regarding qualification when requested.
County Tax Assessor and Commissioner: Application for current use assessment is processed by local assessor. Assessment office is required to consider the suggested use values but is not mandated to adopt them.
University: N/A
Landowners: Make application
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