REVENUE AND TAXATION Ad Valorem Taxation of Property: Change Certain Provisions Relating to Qualifications of Property as Bona Fide Conservation Use Property; Change Certain Provisions Relative to the Ownership of Such Property and the Gross Income Derived by a Family Owned Farm Entity

The Act requires a family owned farm entity owning property for conservation use to be owned by one or more natural or naturalized citizens related to each other by blood or marriage. The Act allows an entity such as a corporation, a limited partnership, a limited corporation, or a limited liability company to serve as a general partner of a family limited partnership, but it may not hold more than a five percent interest in that family limited partnership. Finally, the Act requires a family owned entity to derive eighty percent or more of its gross income from bona fide conservation uses, including earnings or investments directly related to past or future bona fide conservation uses, and when the family farm entity is newly formed, an estimate of its income may be used to determine eligibility