Vermont's Current Use Program: How It Works and What It Saves

Updated September 28, 2026 by Tony Walton, Principal Broker, New England Landmark Realty

Quick Answer

Vermont's Current Use program, officially the Use Value Appraisal program, taxes enrolled farm and forest land on its value for farming or forestry instead of its market value. For the 2026 tax year, the state values enrolled farmland at $537 an acre and managed forest land at $208 an acre, often far below market value. Land generally needs at least 25 contiguous acres, forest land needs an approved forest management plan, and enrolled land carries a lien: developing it later triggers a land use change tax of 10% of the developed land's full market value.

Key Takeaways

Two-Sentence Summary

Current Use can cut the property tax on a large Vermont parcel dramatically, and more than 2.5 million acres, about one-third of the state, are enrolled. In exchange, owners must keep the land in farming or managed forestry, file reports on time, and accept a permanent lien that comes due if the land is developed.

If You Only Remember 3 Things

1. You generally need 25 or more contiguous acres, not counting your house and the land around it.
2. Forest land must follow a forest management plan approved by your county forester and updated every 10 years.
3. If you buy enrolled land, file the transfer paperwork within 30 days of the deed being recorded, and know that building on enrolled land triggers the 10% land use change tax.

Quick Facts

• 2026 use values: agricultural land $537/acre; forest land $208/acre; forest land more than 1 mile from a Class I, II, or III road $156/acre
• Enrollment: more than 19,000 parcels and more than 2.5 million acres
• Minimum size: 25 contiguous acres (smaller agricultural parcels can qualify if they generate at least $2,000 a year)
• Application deadlines: September 1 (land without managed forest); October 1 (managed forest or conservation land, filed with the county forester)
• Application fee: $100
• Land use change tax: 10% of the full fair market value of land that is developed

How the Use Value Appraisal Works

Normally, Vermont towns tax land at its fair market value, including its value as a potential house lot. Land enrolled in Current Use is instead taxed at a use value set each year by the state. Your town still sets the tax rate. It just applies that rate to the lower enrolled value.

The program is run by the Vermont Department of Taxes, Division of Property Valuation and Review, working with the Department of Forests, Parks and Recreation, whose county foresters review forest management plans.

How Much Can You Save?

Savings depend on how far your land's market value is above the use value, and on your town's tax rate. A hypothetical example:

• 100 acres of forest land with a market value of $2,000 an acre: $200,000 assessed
• Enrolled at the 2026 forest use value of $208 an acre: $20,800 assessed
• At a combined tax rate of 2%, the tax falls from about $4,000 to about $416, saving about $3,584 a year

Your numbers will differ. Ask your town for the parcel's current assessment and tax rates.

What Land Qualifies?

• Agricultural land: at least 25 contiguous acres in active agricultural use, or smaller parcels that generate at least $2,000 a year from farming.
• Managed forest land: at least 25 contiguous acres of forest managed to state standards under an approved forest management plan.
• Farm buildings: buildings actively used by a farmer as part of a farming operation, owned by the farmer or leased to one under a written lease of at least three years. Enrolled farm buildings are exempt from property tax. A dwelling qualifies only if it's used exclusively to house farm employees.
• Conservation land: only for land owned by qualified nonprofit conservation organizations certified by the tax commissioner, not for individual owners.

Your house and the land around it can't be enrolled; they're taxed normally.

How to Enroll

1. Forest land: work with a consulting forester to prepare a forest management plan, and submit it with your application to your county forester by October 1.
2. Agricultural land without managed forest: apply to the Department of Taxes by September 1.
3. Include the required maps and pay the $100 application fee.
4. Once the application is approved and recorded in the town land records, a lien is placed on the enrolled land.

Forms and current deadlines are on the Department of Taxes Current Use page.

Staying Enrolled: Annual Requirements

• Forest land: follow your approved plan, update it every 10 years, and file a Forest Management Activity Report by February 1 for any year in which management activity took place.
• Agricultural land: file an agricultural certification by November 1 each year.
• Audits: the state audits enrolled land in three towns each year.

The Land Use Change Tax

The lien on enrolled land runs with the land permanently. The land use change tax is 10% of the full fair market value of land that is developed. Development includes building structures, mining or excavation, subdividing into parcels under 25 acres, and cutting timber in violation of the management plan.

If you withdraw land from the program, it is valued at the time of withdrawal. The tax is due when you remove the lien, or later if you develop the land. If only part of a parcel is developed, that part is valued separately. Transfers to close family members don't trigger the tax if the new owners apply to re-enroll within 30 days.

Buying Land That's Enrolled in Current Use

Many large Vermont parcels for sale are already enrolled. That can mean lower carrying costs, but it comes with rules. Before you buy:

• Ask for the enrollment details: the current forest management plan, maps, and recent activity reports.
• Know where you'll build. A house site generally needs to be outside the enrolled land. Building on enrolled land triggers the 10% land use change tax on that portion.
• Plan the transfer: the new owner must submit the application and supporting materials within 30 days of the deed being recorded.
• Check your plans against the rules: subdividing into lots under 25 acres counts as development.

We help buyers review Current Use parcels and work out where a house can go. See our Vermont Land Buying Guide or search Vermont land listings.

Frequently Asked Questions

What is Vermont's Current Use program?

A program, officially called Use Value Appraisal, that taxes enrolled farm and forest land on its value for farming or forestry instead of its market value. For 2026, enrolled forest land is valued at $208 an acre and farmland at $537 an acre.

How many acres do you need for Current Use in Vermont?

Generally at least 25 contiguous acres. Smaller agricultural parcels can qualify if they generate at least $2,000 a year from farming.

When is the Current Use application due?

September 1 for land without managed forest, and October 1 for managed forest or conservation land, which is submitted to the county forester.

What is the land use change tax?

A tax of 10% of the full fair market value of enrolled land that is developed. It also applies when land is withdrawn and the lien is removed.

Can I build a house on land enrolled in Current Use?

Your house and the land around it can't be enrolled. Building on enrolled land counts as development and triggers the 10% land use change tax on that portion.

What happens to Current Use when land is sold?

The lien stays with the land. The new owner must submit the transfer application and supporting materials within 30 days of the deed being recorded.

What to Do Next

Buying or selling land in Current Use? Call our office at 802-253-4711, reach Tony Walton directly at 802-233-4107, or contact us.

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• Vermont Property Taxes Explained
• Vermont Land Buying Guide
• Vermont Home Buying Guide
• Vermont Woodlands Association

Sources

• Vermont Department of Taxes, Current Use (2026 use values, deadlines, fee, enrollment totals)
• Vermont Department of Taxes, Eligible Property
• Vermont Department of Taxes, Information for Enrollees
• Vermont Department of Taxes, Land Use Change Tax
• Vermont Department of Forests, Parks and Recreation, County Foresters
• Savings example calculated by New England Landmark Realty using a hypothetical market value and tax rate