Bill > HB5340

This bill establishes a new classification for "managed timberland" that is leased for "carbon credit income," which is defined as a percentage of the land's assessed value of at least $10,000 per year. This new category aims to provide tax consistency for landowners and lessees by taxing eligible timberland at the same rate as "Category A managed timberland," regardless of timber quality or growth stage, provided the property is leased under a formal contract for timber-related economic activities. The West Virginia Division of Forestry and the State Tax Division will oversee this classification and compliance, with properties less than $10,000 per year and under 100 acres exempt from reclassification. Importantly, managed timberland properties that receive a discounted property tax rate and are subsequently leased for carbon credits will be considered a business, not managed timberland.

Transportation and Infrastructure

http://www.wvlegislature.gov/Bill_Status/Bills_history.cfm?input=5340&year=2026&sessiontype=RS&btype=bill