2023 Oregon Revised Statutes › Volume : 08 - Revenue and Taxation › Chapter 315 - Personal and Corporate Income or Excise Tax Credits › Section 315.126 - Certification of eligibility from State Forestry Department; notice of operation; irrevocable deed restriction; department to maintain records.

(1) In order to obtain certification of eligibility from the State Forestry Department for a tax credit allowed under ORS 315.124, a small forestland owner must:
(a) File, as provided in ORS 527.670, a notification of operation with the State Forester for an operating area that includes the forest conservation area for which the small forestland owner seeks a credit under ORS 315.124;
(b) Indicate in the notification of operation that the small forestland owner intends to use the standard practice harvest restrictions in lieu of the small forest owner minimum option;
(c) Submit to the department an application for certification under this section; and
(d) Provide documentation of stumpage values and costs of appraisal to the department after filing the notification of operation and within three months after the timber harvest has been completed.
(2) The State Forestry Department shall timely provide written certification to taxpayers that are eligible to claim the credit under ORS 315.124.
(3) A small forestland owner that receives certification under this section must:
(a) Sign and record in the deed records for the county where the eligible forest conservation area is located an irrevocable deed restriction prohibiting the owner and the owner’s successors in interest from conducting a harvest or otherwise removing trees within the forest conservation area for which a credit has been claimed. The deed restriction shall allow for incidental tree removal and for tree removal for public safety purposes. The deed restriction shall specify the amount of the credit and the expiration date of the harvest restriction on the forest conservation area. The State Forestry Department shall provide the small forestland owner with appropriate documentation for this purpose.
(b) Maintain the written documentation of the amount certified for tax credit under this section, and the amount of credit claimed, in its records as long as any tax return remains open for years in which the credit has been claimed, and provide the written documentation to the Department of Revenue upon request.
(c) Provide documentation of all costs claimed as part of the credit, including costs of appraisal and costs to file and record the deed restriction required under this section.
(d) Notify any immediate successor owner of the forest conservation area of the terms of the credit and the potential obligation of successor owners to repay the amount of credit allowed upon violation of the applicable harvest restrictions as described in ORS 315.130.
(4) The State Forestry Department shall:
(a) Maintain in the department reporting and notice system operated under ORS 527.786 to 527.793 records of harvest restrictions applicable to certifications issued under this section.
(b) Provide information to the Department of Revenue about all certifications issued under this section, if required by the Department of Revenue under ORS 315.058. [2022 c.34 §3]