Open-Space Appraisal Depends on Use, Not Acreage Alone

Texas can value some farm, ranch, and timber land by what it can produce. This is called a 1-d-1 open-space appraisal. The value is often below market value, but it does not promise a set tax cut.

The land must be used mainly for farming or ranching now. It must meet the normal level of use for the area. It also needs farm, ranch, or timber use in at least five of the past seven years. Land inside a city has more tests. JCAD applies the local rules to each tract.

Use Form 50-129 and talk with JCAD before changing the land's use.

A change to a use that does not qualify can cause a rollback bill. The bill is based on the tax gap for the past three years. State law has exceptions, so a sale or new use does not always lead to the same result.