At the end of December, Indiana’s Department of Local Government Finance calculated the base rate assessment for farmland to be used for taxes in 2015.
Predictably, the base rate increased to $2,050 per acre. That’s a 16 percent increase over the pay-2014 value of $1,760, which was an 8 percent increase over 2013’s $1,630. The base rate is the starting point for farmland assessments. Assessed value for each acre is the base rate adjusted by a soil productivity index and sometimes by an influence factor.
I mean “predictably” literally. The numbers used to calculate the base rate enter the formula with a four-year lag. To figure the base rate for 2015 taxes, the state used data on rents, commodity prices, yields, interest rates and costs for 2006 through 2011.