The bill H.134 proposes amendments to the land use change tax calculation in Vermont, specifically when a portion of a parcel is removed from use value appraisal. The calculation will now use proration based on acreage rather than valuing the removed portion as a separate parcel. This change aims to simplify the tax assessment process for landowners. Additionally, the bill introduces a new exemption from the land use change tax for land withdrawn to develop affordable housing, provided certain conditions are met, such as the land's proximity to public roads and designated growth areas.

The new legal language includes the deletion of the phrase "as a separate parcel" and the insertion of "prorated on the basis of acreage," which clarifies how the fair market value of the changed land will be determined. Furthermore, the bill outlines specific criteria for the exemption related to affordable housing development, including requirements about the land's location and its impact on existing parcels. The act is set to take effect on July 1, 2025.

Statutes affected:
As Introduced: 32-3757