Existing farmland preservation agreements signed before July 1, 2009 or under 2009 WI Act 374 can be modified. Modifying these existing agreements allows the landowner to claim a farmland preservation tax credit worth either $5 per acre, or $10 per acre if the covered land is also covered by farmland preservation zoning. In many cases, this calculation will enable the landowner to claim a higher tax credit.
Application to modify a farmland preservation agreement
Instructions for modifying a farmland preservation agreement
Sample modified farmland preservation agreement
Landowner Considerations Prior to Modifying a Farmland Preservation Agreement
How will modifying my agreement affect my tax credit?
Tax credits for landowners with a pre-2009 farmland preservation agreements varies and is calculated with consideration of household income and property tax liability. Landowners must use Schedule FC when filing an income tax return to claim their credit.
Modifying your existing agreement will enable you to claim a tax credit worth $5 per acre (or $10 per acre if your land is also covered by a farmland preservation zoning ordinance), with no minimum acreage requirement and no maximum credit. In some instances, your current agreement may provide a higher tax credit. Landowners with a modified pre-2009 farmland preservaiton agreement must use Schedule FC-A when filing an income tax return to claim their tax credit. Visit the Department of Revenue’s website or talk to a tax professional for more information about calculating the farmland preservation tax credit.
Will modifying my agreement change my agreement's expiration date?
Modifying the agreement does not extend the current expiration date of an existing agreement.
Can I remove land from coverage under the modified agreement?
With a modified agreement, you still may remove all of the land from coverage under the agreement; however with the modification you also have the option to remove just a portion of the land from coverage under an agreement. As under your current agreement, there is a fee to remove land from coverage by the agreement.
How do I know if I am eligible to modify my agreement?
To be eligible for the modification, the land under the agreement must be in compliance with the farmland preservation agreement provisions identified in the current agreement, including applicable soil and water conservation standards. Contact your county’s land conservation department for more information.
What are the soil and water conservation requirements under a modified agreement?
Once the agreement is modified, the land will then be subject to the current soil and water conservation requirements in place on the date that the agreement was modified. In order to show compliance with these standards, landowners who modify their pre-2009 farmland preservation agreement must obtain a certification of compliance from the land conservation office in the county where the farmland is located. Contact your county’s land conservation department for more information.