Agricultural Valuation
Farm and Ranch Land Can Be Taxed on Productivity, Not Market Value
Agricultural land in Parmer County can qualify for a lower tax appraisal based on what the land can produce, not what it would sell for.
Texas law allows farmland and ranchland to be appraised at its productivity value instead of its market value. In a farming county like Parmer, this can mean a much lower tax bill. The land generally must have been used for agriculture for at least five of the past seven years.
You apply through the Parmer County Appraisal District in Bovina. If the land stops being used for agriculture, a rollback tax may apply — meaning you could owe back taxes for each of the previous three years. Check the Texas Comptroller's page on ag appraisal for the full rules before you buy or change land use.
Source to confirm: Texas Comptroller — Agricultural Special Appraisal