Chapter 61

Chapter 61 is a voluntary current use program designed by the Massachusetts Legislature to tax real property in the Commonwealth of Massachusetts at its timber resources value rather than its highest and best use (development) value. Landowners who enroll their land in the program receive property tax reductions in exchange for a lien on their property. The terms of the lien require that enrolled land remain in an undeveloped state and be managed for forest resources extraction under a forest management plan approved by the state. Furthermore, the lien provides the municipal government of the town in which the enrolled property is located a right of first refusal should the landowner put the land up for sale while it is enrolled in the program. Towns may assign their right of first refusal to a state agency or a non-profit land trust. Landowners who develop their land while enrolled in the program, or for a period of time after withdrawing from the program, may be required to pay penalties.

Enrollment qualifications

In order the qualify for the Chapter 61 program, a parcel of real property must be at least 10 acres (40,000 m2) contiguous in size and under the same ownership. Prior to approval, the landowner must establish a forest management plan for the affected property and have it approved by a state certified forester. Only the wooded and undeveloped portions of the land may be enrolled in the program.

Penalties

A landowner who has enrolled in the program is forced to pay a conveyance tax if he sells his enrolled land for a use other than forestry within a period of ten years after the last date forestry was practiced on the property or within 10 years after he first acquired the property. The conveyance tax is 10% of the value of the property minus 1% for each year since the property was last been used for forestry or was acquired.

Rollback taxes, the difference between the normal tax rate the preferential tax rate plus 5% annual interest, are charged whenever land is developed or is converted to another use not recognized by Massachusetts as forest, agricultural, or recreational in nature within five years of the last date of enrollment in the Chapter 61 program.

References

Massachusetts General Laws Chapter 61 Classification and Taxation of Forest Lands and Forest Products.


Wikimedia Foundation. 2010.

Look at other dictionaries:

  • Chapter — • Designates certain corporate ecclesiastical bodies, said to be derived from the chapter of the rule book, which it was the custom to read in the assemblies of monks Catholic Encyclopedia. Kevin Knight. 2006. Chapter     Chapter …   Catholic encyclopedia

  • Chapter 27 — Theatrical release poster Directed by Jarrett Schaefer Produced by Na …   Wikipedia

  • Chapter 11 — ist ein Abschnitt des Insolvenzrechts der Vereinigten Staaten (engl.: US bankruptcy code). Der Begriff bezeichnet in der angelsächsischen Finanz und Rechtssprache die Insolvenz eines Unternehmens. Inhaltsverzeichnis 1 Inhalt 2 Der Sinn von… …   Deutsch Wikipedia

  • Chapter 13 — bankruptcy proceedings for an individual with the intention of rescheduling the individual s debt (rather than liquidating the individual s assets and debt; an individual files under Chapter 7 to liquidate), Chapter 13 is referred to as… …   Glossary of Bankruptcy

  • Chapter 14 — Origin San Diego, California, USA Genres Rock, progressive metal, post hardcore Years active 2003–present Associated acts Austrian Death Machine, Destroy The Runner …   Wikipedia

  • Chapter 11 — chap·ter 11 n: chapter 11 of the U.S. Bankruptcy Code see also bankruptcy code in the important laws section Merriam Webster’s Dictionary of Law. Merriam Webster. 1996 …   Law dictionary

  • Chapter 24 — Song by Pink Floyd from the album The Piper at the Gates of Dawn Released August 5, 1967 Recorded February June 1967 Genre Psychedelic rock …   Wikipedia

  • Chapter — Chap ter, n. [OF. chapitre, F. chapitre, fr. L. capitulum, dim. of caput head, the chief person or thing, the principal division of a writing, chapter. See {Chief}, and cf, {Chapiter}.] 1. A division of a book or treatise; as, Genesis has fifty… …   The Collaborative International Dictionary of English

  • Chapter 13 — n: chapter 13 of the U.S. Bankruptcy Code see also bankruptcy code in the important laws section Merriam Webster’s Dictionary of Law. Merriam Webster. 1996 …   Law dictionary

  • Chapter 11 — reorganization proceedings, generally for business entities. The debtor maintains control of the business in Chapter 11, unless the Court appoints a trustee (Glossary of Common Bankruptcy Terms) A reorganization proceeding in which the debtor may …   Glossary of Bankruptcy

  • Chapter 7 — liquidation proceedings; generally assets are sold by a trustee and the company ceases operation. Individuals may file Chapter 7 also (Glossary of Common Bankruptcy Terms) A liquidation proceeding available to individuals, married couples,… …   Glossary of Bankruptcy


Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”

We are using cookies for the best presentation of our site. Continuing to use this site, you agree with this.