Title

Effect of the Federal estate tax on rural land holdings in the USA. Chapter 20

Document Type

Book Chapter

Publication Date

2002

Abstract

There is considerable evidence to indicate that the effect of the federal estate tax on transfers of rural landholdings is increasing. The number and percentage of estates in general that owe federal estate tax is increasing year by year (Internal Revenue Service, 1996; Herman, 2001). Urban Expansion (US Department of Commerce, 1992; Harris and Deforest, 1994) and gentrification of the areas surrounding cities have driven up the value of much of the nation's rural land. Sharply increased stumpage prices (Morrow and Fritschi; 1997) have also driven up the timber component of forestland value. And the stringent requirements for 'special use' valuation - which permits working land to be appraised for estate tax purposes at its value in use rather than its highest and best use - make it difficult for managed forestland to qualify for and remain under the provision.

Comments

Greene, J.L., T.L. Cushing, S.H. Bullard, and T. Beauvais. 2002. Effect of the Federal estate tax on rural land holdings in the USA. Chapter 20. Forest Policy for Private Forestry: Global and Regional Challenges. CABI Publishing, New York, pp. 211-218.


Share

COinS

Tell us how this article helped you.