Some Wisconsin Landowners Are Under Claiming Their Farmland Preservation Tax Credits
Madison—If your land is zoned under Farmland Preservation, be sure to use the appropriate tax forms when claiming income tax credits. Too many landowners are not, according to the Wisconsin Department of Agriculture, Trade and Consumer Protection, and that means they’re not getting what they’re entitled to receive.
Recent data collected by the Wisconsin Department of Revenue shows that some Wisconsin landowners are under claiming their Farmland Preservation tax credits at an average rate of about $3.00 per acre or more than $1.5 million total.
Farmers are eligible for Wisconsin income tax credits in exchange for keeping land in agricultural use and complying with state soil and water conservation requirements.
“What the data from the Department of Revenue shows is that a number of farmers aren’t using the proper forms to claim their income tax credits and are claiming a lower tax credit than they should,” said Keith Foye, DATCP land management section chief. “Essentially, they’re leaving money on the table.”
The department recommends the following when preparing 2011 tax information:
- Verify that your land is located within a state certified farmland preservation zoning district or that it is covered by a farmland preservation agreement.
- If you own land located in an area under a certified farmland preservation zoning, use the Schedule FC-A form. For those farmers who entered into a farmland preservation agreement on or after July 1, 2009, also use the Schedule FC-A form.
- If you entered into a farmland preservation agreement prior to July 1, 2009, continue to use the Schedule FC form.
- If you are unsure if your land is zoned or covered by an agreement, contact your town or county zoning office to see if your land is under zoning. Your county land conservation office can tell if you if your land is under a farmland preservation agreement. It may be helpful to have the parcel numbers that appear on your property tax bill when making the calls.
- Kris Modaff, DATCP farmland preservation program, is also available to answer questions on farmland preservation at (608) 224-4633 or email firstname.lastname@example.org.
“If you believe you may not have claimed the appropriate amount of tax credits for tax year 2010, you have up to four years after the initial claim was due to file an amended tax return,” Foye said. “Be sure to use the correct tax schedule when filing the amended return.”