The State of New Hampshire encourages the preservation of wide open space. It’s in the best interest to maintain the character of the states landscape, while conserving the land, water forest agriculture and wildlife resources. To prevent the loss of open space to high current tax rates,NH has developed a Current use value which assesses open land based upon the income providing capability and not real estate market value. This valuation is determined by the assessor in accordance with the range of value established by the Current Use board and based on the class, type and location of the land.

When property classified as open space is developed the “Land Use Change Tax” is assessed at a rate of 10% of the full and true value.This tax shall be due and payable to the town or city in which the property is located. The town may place a lien on the property and may subject the owner of the real estate to a statutory collection proceeding if the levy isn’t paid with in 18 months. The change of use will occur when construction begins, or when gravel or top soil is removed from the property.

Details of this subject can be reviewed under RSA section 79-A:7 or you can go directly to the state of New Hampshire’s general court statue regarding the current use, and change of use: www.gencort.state.nh.us/v79-A

Many other states have similar current use plans on their books, and it is an excellent way to make a large piece of land affordable while thinking about future development options