Agricultural & Horticultural Property

Agricultural & Horticultural Exemptions

The purpose of the agricultural value program is to stimulate the continuation of farming operations and encourage the preservation of farmland in Kentucky by providing property tax relief.  The value of land used for farm production is assessed at a "use" value, which results in a lower taxable dollar value per acre than the fair cash value for the same land.  This program was enacted through a constitutional referendum in 1969 to keep rising property assessments, particularly in developing areas, from forcing farmers out of business and accelerating the land conversion process.

According to KRS 132.010 (9)

"Agricultural land" means:

  1. Any tract of land, including all income-producing improvements, of at least ten contiguous acres in area used for the production of livestock, livestock products, poultry, poultry products and/or the growing of tobacco and/or other crops including timber
  2. Any tract of land, including all income-producing improvements, of at least five contiguous acres in area commercially used for aquaculture
  3. Any tract of land devoted to and meeting the requirements and qualifications for payments pursuant to agriculture programs under an agreement with the state or federal government;

"Horticultural land" is defined as any tract of land at least five acres in area commercially used for the cultivation of a garden, orchard, or the raising of fruits, vegetables, flowers, or ornamental plants.

Application for Valuation & Exemption

On or before March 1 of any year, the owner or owners of land devoted exclusively to agricultural use on which the Property Valuation Administrator’s office has placed a value in excess of the agricultural or horticultural value may file an application for valuation at the agricultural or horticultural value.

You can learn more about this form in the Agricultural/Horticultural Exemption Application and Explanation section.

Agricultural/Horticultural Land Use Application