April 16, 2020
Concerns about whether property tax assessment is carried out uniformly arose when an Indiana Farm Bureau member alerted state INFB leaders about what was occurring in his county in north-central Indiana. According to the farmer, assessors were assessing the land under his hog buildings separately rather than just assessing the buildings themselves.
That was some 18 months ago. The Legislature failed to address the issue with a change to statutes in 2019. Obtaining a change in statutes so INFB could develop a program to offer a health care plan to members was its top priority in 2020, but correcting the apparent inequity in assessment procedures was also on the short list of INBF legislative priorities.
The Legislature overwhelmingly supported the necessary changes allowing INFB to proceed with its goal to offer affordable health care to INFB members, many of whom are sole proprietors in farming businesses. Currently, INFB hopes new health care options will be available for members by fall, with the plans becoming effective in January.
Meanwhile, the Legislature didn’t address possible inconsistencies among counties in applying tax assessment principles in 2020. However, Jeff Cummins, INFB’s associate director for policy engagement, says he expects a search for a possible remedy to move toward the front burner when the farm group puts together its 2021 legislative priorities.
Consistency needed
Cummins knows this is an issue that many Farm Bureau members care deeply about. Until the previously mentioned hog farmer reported in, INFB leadership thought they had resolved the most glaring property tax issues with legislation that helped reduce property tax bills for farmers a couple of years ago.
Indiana Prairie Farmer referenced the hog farmer in an earlier story, prompting a farmer in a different part of the state to share that he’s concerned about what practices counties use when they assess farmland. Do they assess to the edge of the field? Middle of the road? Across the entire road? And how do they assess houses in small subdivisions? Do they only assess to the sidewalk? He questions if this is done the same everywhere, and if the same rules apply to farmland owners and homeowners.
Obviously, a few issues still exist. Look for INFB to seek resolution to these issues in the 2021 legislative session. Meanwhile, if you know of local examples in your area, let INFB know. They’re still determining how many counties might be applying different methods of assessment when it comes to farms and farm property.
True, not everything in agriculture fits perfectly into a cookie-cutter mold. But once a decision is made on how to assess a particular situation — whether it’s a livestock building on a piece of property or whether you’re taxed to the middle of a road or not — the same rules ought to be applied to everyone equally in each of Indiana’s 92 counties.
Most farmers don’t complain about paying their fair share of taxes. It’s when their share doesn’t seem fair, compared to other parts of the state or compared to their suburban neighbors, that farmers really get concerned.
It’s time to get this issue out on the table, discussed and resolved. Let’s hope that by this time next year, the state will be moving toward a solution that ensures all farmers and landowners are assessed equally, wherever they live.
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