Agricultural Appraisal
Farm and Ranch Land Can Be Taxed at a Much Lower Rate
Texas allows farmland and ranchland to be taxed on what it can produce, not what it would sell for, which can mean a much lower tax bill.
This is called a 1-d-1 open-space appraisal. Instead of taxing land at its market value, the county taxes it based on its agricultural productivity value. For rural Grayson County land used for cattle, crops, or other ag purposes, the difference can be large.
To qualify, the land must have been in agricultural use for at least five of the past seven years. The use must match the level of farming that is normal for this area. If you stop farming the land, you may owe a rollback tax for up to three prior years. Apply with Form 50-129 at the Grayson Central Appraisal District.
Source to confirm: Texas Comptroller — Agricultural Use Special Appraisal