Wisconsin Administrative Code › Department of Revenue › Chapter Tax 18 - Assessment Of Agricultural Property › Section Tax 18.02 - Definitions

Current through June 24, 2024
In this subchapter:
(1) "Land devoted primarily to agricultural
			 use" means land classified agricultural in 1995 that is not in a use that is
			 incompatible with agricultural use on the assessment date. Swamp or waste or
			 productive forest land located in villages and cities is not devoted primarily
			 to agricultural use, and agricultural buildings and improvements and the land
			 necessary for their location and convenience are not devoted primarily to
			 agricultural use.
Note: Under prior law, swamp or waste or productive forest land
				located in villages and cities was classified agricultural because villages and
				cities were not permitted to classify land swamp or waste or productive forest
				land. Since 1995 Wis. Act 27 requires villages and cities to use the swamp or
				waste and productive forest land classifications, all such land located in
				villages or cities is to be reclassified swamp or waste or productive forest,
				according to the Wisconsin Property Assessment Manual.
Example: Twenty acres of agricultural land were sold and
				recorded as a legal description in April 1995 and commercial construction began
				in October 1995. Although the land was in agricultural use in 1995, this legal
				description is not devoted primarily to agricultural use due to the
				construction on the property.
Example: Under a conditional use permit, an owner opens a
				15-acre sand and gravel quarry on a 40-acre legal description in October 1996.
				Although the 15 acres were in agricultural use during 1996, extraction of sand
				and gravel is incompatible with agricultural use. Therefore, the 15 acres are
				not devoted primarily to agricultural use and are not classified agricultural
				in 1997.
(2) "Other" means
			 agricultural buildings and improvements and the land necessary for their
			 location and convenience.
Example: A legal description of 40 acres is located in a
				village and includes a house and other agricultural buildings and improvements
				on 2 acres of land, 18 acres of forest, and 20 acres in corn. Although all 40
				acres were classified agricultural in 1995, only the 20 acres of cropland are
				devoted primarily to agricultural use and are classified agricultural in 1996
				and 1997; the house, agricultural buildings and improvements and 2 acres are
				classified "Other", and 18 acres are classified productive forest.
(3) "Parcel of agricultural land"
			 means land devoted primarily to agricultural use within a single legal
			 description.
The definition of "parcel of agricultural land" used here
				  implements the intent of the legislature in only freezing the assessment of
				  agricultural land. If a "parcel of agricultural land" were defined as the
				  complete legal description of a tract which was predominantly agricultural, the
				  assessment of non-agricultural land within the legal description would be
				  frozen. Similarly, the assessment of agricultural land within a legal
				  description which was not predominantly agricultural would not be frozen.
Example: A farmer sells 5 acres of a 40-acre legal
				  description in February 1996 and the 5 acres are recorded as a separate legal
				  description. The farmer rents back the 5 acres and continues working the entire
				  40 acres. The 5 acres are a parcel of agricultural land. Had residential
				  construction begun on the 5-acre legal description by January 1, 1997, it would
				  not be a parcel of agricultural land.
Example: A residence and a 1-acre vegetable garden are
				  located on a 2-acre legal description that was classified residential in 1995.
				  Although the owner produces vegetables and may sell some at a farmer's market,
				  the 2-acres do not constitute a parcel of agricultural land.