If land receiving a 1-d-1 agricultural appraisal changes to a non-agricultural use, the property is subject to a rollback. The rollback tax is imposed on the difference between the taxes imposed on the land for each of the three years preceding the year in which the change of use occurs, and the tax based on the market value in each of those years.
Effective June 15, 2021, HB 3833 makes the change of use penalty for ag valuation to three years prior instead of five and only allows interests to be charged if the taxes become delinquent.
