WA HB1261

Reduces the back-tax penalty period for farm and agricultural land removed from classification from seven years to four years for removals occurring on or after September 1, 2025

Defines "incidental use" on classified farm and agricultural land as uses compatible with commercial agriculture that do not exceed 20% of total classified land, including wetland preservation, gravel pits, farm woodlots, produce stands, and unpaved parking areas

Protects existing farm appurtenances (barns, tool sheds, equipment) from triggering removal of tax classification when minor upgrades are made or limited compatible uses occur, such as educational farming programs, seasonal farm festivals, and weddings

Adds a formal definition of "appurtenance" as something strictly necessary and essential to the proper use of classified land, including portable sanitation equipment, barns, tool sheds, and farm machinery

Effective July 27, 2025; passed unanimously (House 97-0, Senate 49-0)