Ross County Auditor Tom Spetnagel's presentation to the Southern Ohio Forestland Association

1. Southern Ohio
Forestland Association
WHAT SHOULD I DO AS A NEW OWNER OF
TIMBER AND FORESTLAND?
TOM SPETNAGEL JR., ESQ.
AUDITOR, ROSS COUNTY
MARCH 9, 2017

2. What Should I Do?
1. Meet with your County Auditor
2. Request a copy of your property record cards
3. Compare your purchase price to the Auditor’s value
◦ Be sure to look at VALUE, not taxes owed
◦ Decide if you should file a complaint
4. Evaluate tax savings programs

3. Tax Savings Programs
Current Agricultural Use Value
(CAUV)
◦ Administered by County Auditor
◦ Gives soil-based value reduction
◦ Requires 10 or more acres (or $2,500
average income) devoted exclusively to
commercial use
◦ May or may not require plan
◦ Requires $25 one-time fee
Ohio Forest Tax Law
(OFTL)
◦ Administered by ODNR, DoF
◦ Gives 50% rate reduction
◦ Requires 10 or more acres under forest
management plan w/ inspection by DoF
every 5 years
◦ Requires 8 hrs forestry education
◦ Requires $50 one-time fee

4. Example Parcel
Tax w/ NO DISCOUNT
Value $2,000 per acre x 50 acres = $100,000
Tax Value $100,000 x 35% = $35,000
Taxes Due $35,000 x 50 mills (0.05) = $1,750
Tax w/ CAUV Tax w/ OFTL
Value $563 per acre x 50 acres = $28,150 $2,000 per acre x 50 acres = $100,000
Tax Value $28,150 x 35% = $9,853 $100,000 x 35% = $35,000
Taxes Due $9,853 x 50 mills (0.05) = $493 $35,000 x 25 mills (0.025) = $875

5. Caution—Every parcel is different
Your County Auditor can and will calculate your parcel in both manners
Choose the program that’s best for you!
CAUV is usually a better deal, BUT…
◦ CAUV values change every 3 years
◦ CAUV is like the mafia–once in, there’s a penalty to get out!

6. Contact your County Auditor for help!
Currently Serving Southern Ohio:
Adams – David Gifford
Brown – Jill Hall
Fayette – Michael Smith
Gallia – Larry Betz
Highland – Bill Fawley
Jackson – Clyde Holdren
Lawrence – Jason Stephens
Pike – Erica Snodgrass
Ross – Tom Spetnagel
Scioto – David Green

7. Thank you!