An Act To Avoid Unnecessary Removal of Land from the Maine Tree Growth Tax Law Program
Maine Legislature, Session 124, LD 1635
Committee: Taxation
Sponsors: WATSON, DAMON, EBERLE, KNIGHT, SMITH
Amends: 36 MRSA §581

Legislative Document 
No. 
H.P. 1163 
House of Representatives, December 23,2009 
An Act To Avoid Unnecessary Removal of Land from the Maine 
Tree Growth Tax Law Program 
(EMERGENCY) 
Approved for introduction by a majority of the Legislative Council pursuant to Joint Rule 
203. 
Received by the Clerk of the House on December 21,2009. Referred to the Committee on 
Taxation pursuant to Joint Rule 308.2 and ordered printed pursuant to Joint Rule 401. 
Presented by Representative WATSON of Bath. 
Cosponsored by Senator DAMON of Hancock and 
~77J~ /)1. 7lliIC~{ 
MILLICENT M. MacFARLAND 
Clerk 
Representatives: EBERLE of South Portland, KNIGHT of Livennore Falls, SMITH of 
Monmouth. 
Printed on recycled pilpcr 
Emergency preamble. Whereas, acts and resolves of the Legisla!ure do not 
become effective until 90 days after adjournment unle~s enacted as emergencies; and 
Whereas, land that meets all other eligibility criteria for assessment under the Maine 
Tree Growth Tax Law may be withdrawn from the program if the landowner fails to file 
certain statements at the end of a 10-year period in which the land has been previously 
assessed under the law; and 
Whereas, landowners must pay a significant penalty for land withdrawn from 
assessment under the Maine Tree Growth Tax Law; and 
Whereas, the tax year for property tax purposes begins April I st; and 
Whereas, in the judgment of the Legislature, these facts create an emergency with in 
the meaning of the Constitution of Maine and require the following legis1ation as 
immediately necessary for the preservation of the public peace, health and safety; now, 
therefore, 
Be it enacted by the People ofthe State of Maille as follows: 
IS 
Sec. 1. 36 MRSA §581, sub-§l, as repealed and replaced by PL 2007, c. 627, 
§ 16, is amended to read: 
1. Assessor determination; owner request. If Subject to the suspension process 
provided in subsection I-A, if the assessor determines that land subject to this subchapter 
no longer meets the requirements of this subchapter, the assessor must withdraw the land 
from taxation under this subchapter. Before withdrawing a parcel from taxation under this 
subchapter, if the sole reason the land does not meet the requirements of this subchapter 
is that the O'ivner failed to file the SV,'Ofll statement required under section 574 B, the 
assessor shall provide the owner with written notice by regular mail of the deadline to file 
the svt'om statement and permit the ovmer at least 60 days to respond to that notice. An 
owner of land subject to taxation under this subchapter may at any time request 
withdrawal of that hind from taxation under this subchapter by certifying in writing to the 
assessor that the land is no longer to be classified under this subchapter. 
Sec; 2. 36 MRSA §581, slllb-§l-A is enacted to read: 
I-A. Suspension period. Before withdrawing a parcel from taxation under this 
subchapter, if the sole reason the parcel does not meet the requirements of this subchapter 
is that the owner failed to file the sworn statement required under section 574-B, 
subsection 1 or the statement from a licensed professional forester under section 574-B, 
subsection 2, the assessor shall provide the owner with written notice of the, original due 
date for filing the 'required statements and notify the owner that the parcel will be 
suspended from taxation under this subchapter and that a penalty may be assessed under 
subsection 3. ' 
' 
A. Eligibility of the parcel for taxation under this subchapter must be suspended for 
one year after the original due date for filing the statements required under section 
574-B. 
Page J -124LR217S(Ol)-1 
) 
) 
) 
/'---" 
( 
: 
, 
) 
-5 
i 
.13 
~ 
) 
~' 
B. During the one-year suspension period under paragraph A, the parcel must be 
taxed as if it were not eligible for taxation under this subchapter; however, no penalty 
maybe assessed. 
C. 
If the owner provides the required statements before the end of the one-year 
sllspension period under paragraph A, the parcel must be returned to classification 
under this subchapter. 
D. If the owner does not provide the required statements before the end of the one-
year suspension period under paragraph A,a penalty must be assessed as otherwise 
provided in this section as if the parcel were withdrawn on the original due date of 
the statements required under section 574-B and the parcel may not be returned to 
classification under this subchapter. 
E. If, during the one-year suspension period under paragraph A, the parcel becomes 
ineligible under this subsection for reasons other than failure to file the statements 
required under section 574-B, the parcel must be immediately withdrawn and a 
penalty assessed as if the suspension period had not applied. 
Emergency clause. 
In view of the emergency cited in the preamble, this 
legislation takes effect when approved. 
SUMMARY 
This bill provides a grace period that imposes a temporary suspension from taxation 
under the Maine Tree GroWth Tax Law for landowners who fail to file the required 
statements every 10 years but are otherwise in compliance with the law. Current law 
requires the tax assessor to withdraw the land from taxation under the program and 
impose prescribed penalties after notifying the landowner and providing a period of 60 
days for the landowner to respond to that notice. This bill provides that the parcel for 
taxation under the Maine Tree Growth Tax Law is suspended from the program for one 
year after the original due date of the required statements and that the parcel is taxed as if 
it were not eligible for taxation under the program but without applying the penalty 
provision. 'The bill allows the land to be returned to classification under the Maine Tree 
Growth Tax Law if the landowner provides the required statements before the end of the 
one-year suspension period. It requires that the penalty be assessed as if the pa~cel were 
withdrawn on the original due date of the required statements if the landowner fails to file 
the required statements and the land is no longer classified under the Maine Tree Growth 
Tax Law. The bill requires that if, during the suspension period, the parcel becomes 
ineligible for taxation under the Maine Tree Growth Tax Law for reasons other than 
failure to file the required statements, the parcel must be immediately withdrawn and a 
penalty assessed as if the suspension period had not applied.