The farmland preservation program gives farmers who participate in the farmland preservation program a state income tax credit, based on household income, to off-set local property taxes. In either case the county must have adopted an agricultural preservation plan. Farming operations must also comply with county soil and water conservation standards. The income requirement is waived if at least 35 acres of the land is enrolled in the Conservation Reserve Program. The amount of tax credit a farmer receives varies, depending on the household income and the amount of real estate taxes paid on the farmland.
Household income includes net farm income, and income from other sources.
Farm partnerships or corporations are treated the same as any other household. The actual tax credit allowed is calculated by a very detailed formula. The higher the property tax, and the lower the income, the higher the tax credit. Because Shawano County has both a farmland preservation plan and exclusive agricultural zoning, eligible farmers in towns that also have exclusive agricultural zoning can receive 100 percent of the potential tax credit. The Shawano County Land Conservation Division assists farmers in developing soil conservation plans for land enrolled in the program and checks for compliance with the Soil Conservation Standard.