Will putting a home on land with an ag valuation trigger a rollback tax?

It can. In Texas, a rollback tax applies when land under 1-d-1 agricultural appraisal is taken out of agricultural use or changed to a non-agricultural use. It equals the difference between the taxes paid on productivity value and the taxes that would have been paid on market value for the three preceding years. The county's chief appraiser decides whether and when a change of use has occurred. Owners must notify the appraisal district in writing before May 1 if the use changes, or face a penalty. Before buying, ask the appraisal district how your plans would be treated.

Check your local rule. This varies by state, county or city. Your permitting office has the final word; the official lookup pages below show you who that is.

Sources

• Special Valuation Appraisal: Open-Space (1-d-1) and Agricultural-Use (1-d)Texas Comptroller of Public Accounts
• Agricultural, Timberland and Wildlife Management Use Special AppraisalTexas Comptroller of Public Accounts