H. B. 2683
(By Delegates Evans, Rowan, Canterbury, Staggers,
Doyle and Azinger)
[Introduced January 20, 2011; referred to the
Committee on Agriculture then Finance.]
A BILL to amend and reenact §11-1A-10 of the Code of West Virginia, 1931, as amended, relating to taxation of farm property; and providing that certain aged and disabled property owners are classified as engaged in farming.
Be it enacted by the Legislature of West Virginia:
That §11-1A-10 of the Code of West Virginia, 1931, as amended, be amended and reenacted to read as follows:
ARTICLE 1A. APPRAISAL OF PROPERTY.
§11-1A-10. Valuation of farm property.
(a) With respect to farm property, the Tax Commissioner shall appraise such property so as to ascertain its fair and reasonable value for farming purposes regardless of what the value of the property would be if used for some other purpose, and the value shall be is arrived at by giving consideration to the fair and reasonable income which the property might be expected to earn in the locality wherein situated, if rented. The fair and reasonable value for farming purposes shall be deemed is considered or determined to be the market value of such property for appraisement purposes.
(b) A person is not engaged in farming if he or she is primarily engaged in forestry or growing timber. Additionally, a corporation is not engaged in farming unless its principal activity is the business of farming, and in the event that the controlling stock interest in the corporation is owned by another corporation, the corporation owning the controlling interest must also be primarily engaged in the business of farming.
(c) For purposes of appraising property pursuant to this section, the owner of property is engaged in farming if he or she has engaged in farming on that property for ten of the previous fifteen years, has resided on the property during the ten years, and the owner has ceased farming as a result of physical or mental disability caused by disease, accident or infirmity of old age. Property may continue to be appraised as farm property under this subsection for the life of the owner so long as the owner continues to live on the property. The owner does not have to live on the property to be considered engaged in farming if the owner’s physical or mental condition requires that he or she live off the property to receive care. The Tax Commissioner is authorized to propose rules for legislative approval to implement this subsection.
NOTE: The purpose of this bill is to provide for aged or disabled farmers to continue to receive the benefit of having their farm land appraised as farm property after they cease farming due to age or other disability.
Strike-throughs indicate language that would be stricken from the present law, and underscoring indicates new language that would be added.