Iowa Forest Reserve Property Tax Exemption

Iowa's Forest Reserve (forest and fruit tree reservation) property-tax exemption for privately owned woodland and orchards that meet state tree-density and use rules. The DNR publishes the criteria and its district foresters help landowners. The exemption is claimed each January with the county assessor; once approved it continues without re-filing while the land keeps qualifying.

• At least 2 contiguous acres; land occupied by buildings is excluded.

• At least 200 growing trees per acre to qualify as a forest reservation; if trees are removed, the owner has up to one year to replace them.

• Must be protected from fire and grazing, with no livestock allowed.

• No economic gain other than from the trees themselves (fruit, nuts, Christmas trees, posts, logs, fuelwood, sap). The fact sheet says the land cannot be used for leased hunting.

• Forest acres enrolled in CRP or CSP are not eligible (fact sheet).

• Ownership must stay the same for 10 years, or recapture taxes apply.

Continuing exemption with no annual re-filing. The county conservation board or assessor may inspect. Land that is not maintained or is used for economic gain is assessed at fair market value, and taxes for up to 5 years are recaptured unless the owner has held the land more than 10 years.

Published amounts: Enrolled forest reservations are exempt from property tax (fact sheet: 'Beginning in 1986, the tax exemption for forest reservations was made to $0/acre'). If the land is sold before 10 years, 'taxes that would have been paid during the past 5 years of that period will be recaptured.'

Apply with the county assessor's office between January 1 and February 1 of the year the exemption is claimed. Once approved, the exemption continues each year without re-filing as long as the land qualifies. DNR district foresters (listed on the page) can help evaluate and manage the woodland.

Deadline text on the page: Private forest landowners interested in enrolling their forest or fruit trees into reservations must make application with the county assessor’s office from January 1 - February 1 of the year for which they are claiming exemption. (Forest Reserve Fact Sheet)