Volume 3 - Opinions of Counsel SBEA No. 105
Farm structures and buildings exemption (generally) (leased land) - Real Property Tax Law, § 483:
For purposes of this section, it is not a necessary requirement that the owner either actively farm the land or reside thereon. An active farm operation under a lease agreement does not defeat the intent of this section.
We have received a request for a clarification of section 483 of the Real Property Tax Law where the eligible farm operation is under a lease agreement, the owner neither living on the land nor actively farming any portion of it.
Section 483 provides for an exemption to the extent of any increase in assessed value due to newly constructed or reconstructed structures necessary to the operation of five acres or more of land actively devoted to a bona fide agricultural or horticultural operation.
Section 483 further states that the exemptions shall only be available upon application by the owner. However, there is no statutory requirement that such owner actively farm the acreage supported by the structure.
Therefore, it is our opinion that it is not a necessary requirement that the owner either actively farm the land or reside thereon, and that an active farm operation under a lease agreement does not defeat the intent of section 483.
May 14, 1974