This bill allows municipalities to impose taxes on standing wood or timber located on land that is enrolled in the carbon sequestration registry. The amendment to RSA 79:5 introduces new legal language that specifies the inclusion of wood or timber used for carbon sequestration in the tax assessment process. The intent of this provision is to ensure that property owners do not indefinitely hold onto standing wood or timber without paying taxes, thereby addressing potential revenue loss for towns and cities.

The bill also clarifies that if standing wood or timber is taxed under this new provision, the taxes paid will be credited against any yield tax that may be imposed later. The effective date for this legislation is set for April 1, 2025. Overall, the bill aims to enhance municipal revenue by enabling taxation on specific types of timber while providing a mechanism for tax credits related to yield taxes.

Statutes affected:
Introduced: 79:5