Agricultural Appraisal
Ag Valuation Can Sharply Cut Taxes on Rural Land
Land used for farming, ranching, or wildlife management in Colorado County may qualify for a special appraisal based on what the land produces, not what it would sell for.
Texas law lets qualifying agricultural land be taxed on its productive value rather than its market value. For rural tracts in Colorado County, that difference can be large. Crops, livestock, timber, and wildlife management can all qualify.
The land generally must have been in agricultural use for at least five of the past seven years. If you later convert qualified land to another use, you owe rollback taxes — the difference between what you paid and what you would have owed — for the prior three years. Apply through the Colorado County Appraisal District. Details on what qualifies are at the Texas Comptroller's site.
Source to confirm: Texas Comptroller — Agricultural Special Appraisal