HB281: HB281 Ad valorem tax; property; change certain definitions

Georgia law gives owners of qualifying conservation and agricultural land a special property tax valuation method called 'current use value,' set out in Georgia's property tax code (O.C.G.A. § 48-5-2). This bill rewrites that definition. Instead of describing current use value in terms tied to its own subsection, the new language defines it as the amount a knowledgeable buyer would pay for the property intending to keep it in its existing use, in an arm's length, bona fide sale, with the amount determined according to specifications in a related section on conservation use assessment (O.C.G.A. § 48-5-269(b)). The bill makes no other changes to the tax code. If enacted, it would take effect immediately upon the Governor's signature or upon becoming law without the Governor's signature. All conflicting laws would be repealed.

• Rewrites the definition of 'current use value' for bona fide conservation use property in Georgia's tax code (O.C.G.A. § 48-5-2).
• Ties the valuation method to a hypothetical knowledgeable buyer's price in an arm's length, bona fide sale, assuming the property stays in its current use.
• Cross-references the valuation criteria already laid out in O.C.G.A. § 48-5-269(b) for how the amount is actually calculated.
• Sets the effective date as immediately upon the Governor's signature, or upon the bill becoming law without a signature.
• Repeals any existing state laws that conflict with the new definition.

Owners of land classified as bona fide conservation use property, such as farmers, timberland owners, and other landowners who qualify for conservation use tax assessments, along with county tax assessors and appraisers who apply this definition when calculating property tax bills.

Because 'current use value' determines the taxable value of qualifying conservation land, a change in how that term is defined could affect how county assessors calculate valuations, which in turn affects the property tax bills conservation landowners pay each year.

• Section 1 amends O.C.G.A. § 48-5-2 by replacing paragraph (1)'s definition of 'current use value' with new wording centered on a knowledgeable buyer's price in an arm's length sale.
• Section 1 directs that the value be determined using the specifications and criteria already found in O.C.G.A. § 48-5-269(b), which governs conservation use assessment.
• Section 2 sets the effective date as upon the Governor's approval or upon the bill becoming law without approval.
• Section 3 repeals any conflicting laws.

1. 2025-02-10House Second Readers (House)
2. 2025-02-06House First Readers (House)
3. 2025-02-05House Hopper (House)

• Vance Smith (R, HD-138)Primary sponsor
• Bruce Williamson (R, HD-112)
• Shaw Blackmon (R, HD-146)
• Trey Kelley (R, HD-016)
• Clint Crowe (R, HD-118)

• property taxes
• conservation use property
• ad valorem taxation
• farmland taxes