N.Y. extends farm building tax exemptions

Dec 04, 2018

Farmers will receive tax breaks on new buildings until 2029

By Diego Flammini
Staff Writer
Farms.com

New York farmers planning to construct new buildings in the next decade will be exempt from increased property tax payments.

Yesterday, Governor Cuomo announced a 10-year extension to the Real Property Tax Law on farm buildings.

Any buildings constructed within the applicable timeframe “will be exempt from any increase in the property’s assessed value resulting from improvement,” the law says.

The law exempting farm buildings from state taxation was set to expire on Jan. 1, 2019. Cuomo’s extension carries the legislation until 2029.

“New York’s agricultural industry is a major sector of our economy, and it’s critical that we continue to support local farmers and growers,” Cuomo said in a statement yesterday.

The law last received renewal in 2008.

Since then, farmers have saved almost US$113 million in property taxes which they’ve been able to reinvest into their businesses.

“This law, which keeps new farm buildings off the tax rolls for 10 years, is essential to encourage new farm investment, and it will make it more economical to grow family farm businesses,” David Fisher, president of the New York Farm Bureau, said in a statement yesterday. “The tax savings is especially important in today’s tough agricultural economy.”

Buildings must meet certain parameters to qualify for the exemption.

The tax break only applies to buildings that are “essential to the operation of lands actively devoted to agricultural or horticultural use,” the law states.

The structures must also be erected on farms that are at least five acres in size.

The exemptions do not apply to “the residence of the applicant or (his or her) immediate family.”

Farms.com has reached out to members of New York’s ag community for reaction to the exemption extension.

SimplyCreativePhotography/iStock/Getty Images Plus photo

Video: How farmers are protecting the soil and our food security | DW Documentary

For a long time, soil was all but ignored. But for years, the valuable humus layer has been thinning. Farmers in Brandenburg are clearly feeling the effects of this on their sandy fields. Many are now taking steps to prepare their farms for the future.

Years of drought, record rainfall and failed harvests: we are becoming increasingly aware of how sensitively our environment reacts to extreme weather conditions. Farmers' livelihoods are at stake. So is the ability of consumers to afford food.

For a few years now, agriculture that focuses solely on maximum yields has been regarded with increasing skepticism. It is becoming more and more clear just how dependent we are on healthy soils.

Brandenburg is the federal state with the worst soil quality in Germany. The already thin, fertile humus layer has been shrinking for decades. Researchers and farmers who are keen to experiment are combating these developments and looking for solutions. Priority is being given to building up the humus layer, which consists of microorganisms and fungi, as well as springtails, small worms and centipedes.

For Lena and Philipp Adler, two young vegetable farmers, the tiny soil creatures are invaluable helpers. On their three-hectare organic farm, they rely on simple, mechanical weed control, fallow areas where the soil can recover, and diversity. Conventional farmer Mark Dümichen also does everything he can to protect soil life on his land. For years, he has not tilled the soil after the harvest and sows directly into the field. His yields have stabilized since he began to work this way.

Isabella Krause from Regionalwert AG Berlin-Brandenburg is convinced after the experiences of the last hot summers that new crops will thrive on Brandenburg's fields in the long term. She has founded a network of farmers who are promoting the cultivation of chickpeas with support from the scientific community.