Land must be primarily devoted to and used for commercial agricultural activities (State Legislators have determined that growing marijuana does not qualify as a commercial crop for this purpose). Farmland is valued based on the productivity capacity of the land which is annually derived by using USDA cash rent surveys and the rate & tax component published by the State in WAC 458-30-262. The taxable value is usually less than $1,000 per acre in Kitsap County but it is adjusted annually.
Proof of revenue from farming is required. A farm must have qualifying income for at least 3 of the last 5 years on file at all times. Proof of income must be submitted with the application and every year afterward to continue the exemption. Qualifying income is based on the number of farm acres:
Less than 5 acres – requires a minimum annual gross income from agricultural products of $1,500
5 to 19.99 acres - requires a minimum annual gross income from agricultural products of $200 per acre
20 acres or more – there is no minimum annual gross income requirement. However, there must be sufficient income to ascertain that the property is a commercial-scale farm.
A minimum 1-acre homesite is required if a home is on the property; unless the farm is over 20 acres AND the home is an integral part of the farm (i.e., the farmer or an employee who works the farm lives in the home). A homesite is fully taxable.
If farm animals are present, a Farm Management Plan is required with the application. For more information on a Farm Management Plan contact the Kitsap Conservation District.
An Application must be filed with the Assessor's Office by the end of the year. There is a $300 application fee that must accompany the application (check payable to the Kitsap County Assessor). If the complete application is received this year, it will be reviewed next year and if approved, you would see your first tax reduction in the following year. (Example; apply 2026, reviewed 2027, 1st tax break 2028). Once the application is received, you will be notified in writing whether the application has been approved or denied by May 1st of the following year.
Click HERE for information on the sale or removal of Farm & Agricultural Land.
