Could Your Land Be Saving You Money?

Massachusetts General Laws Chapter 61 provides a reduced property tax assessment for land that is actively managed for forest production under a certified forest management plan. To qualify, land must be at least 10 acres and managed under a plan approved by a licensed forester. The program requires a commitment to forest management and includes a lien and rollback tax provision if the land is converted to another use or sold.

Chapter 61A provides reduced property tax assessments for land actively devoted to agricultural or horticultural uses. Qualifying uses include farming, dairying, livestock, poultry, orchards, nurseries, cranberry bogs, and other agricultural and horticultural activities. The land must meet minimum gross sales or acreage requirements. Like Chapter 61, a rollback tax applies if the land is converted or sold.

Chapter 61B provides reduced property tax assessments for land used for recreational purposes, including hiking, hunting, fishing, camping, and other outdoor recreation. The land must be at least 5 acres and open to the public or used for qualifying recreational purposes. A rollback tax applies upon conversion or sale.

The Massachusetts APR Program, administered by the Department of Agricultural Resources, purchases development rights from qualifying farmland owners. In exchange for a permanent restriction on non-agricultural development, landowners receive a payment based on the difference between the land's fair market value and its agricultural value. APR land remains in private ownership and can be farmed, sold, or passed to heirs — but cannot be developed for non-agricultural uses.

A conservation restriction (CR) is a voluntary legal agreement between a landowner and a qualified conservation organization or government agency that permanently limits certain uses of the land to protect its conservation values. Conservation restrictions can be donated or sold. A donated conservation restriction may qualify for a federal income tax deduction based on the value of the restriction. Conservation restrictions are permanent and run with the land.