Bill > S1584

This bill establishes estate tax valuation for farms. Specifically, it allows real property devoted to use as a farm or closely held agricultural land to be valued based on either the federal Section 2032A valuation method or the valuation set by the farmland valuation advisory commission, rather than the full fair market value. The bill also specifies that, for the purposes of determining Massachusetts gross or net income, the basis of real property valued as closely held agricultural land will be the valuation determined under the chosen method, unless the property is sold for other use more than ten years after acquisition, in which case the basis will be the full fair market value. The bill provides definitions for what qualifies as closely held agricultural land and includes a rollback tax provision if the land no longer meets the qualifying criteria.

Budget and Finance

https://malegislature.gov/Bills/190/S1584