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Example: 20-acre Tipton farm could lose roughly $2,300 in local tax revenue under phased deduction
Summary
Using Tipton County soil-productivity averages, the presenter calculates a 20-acre farmland parcel assessed near $354,000 that would see its 2% cap tax fall from about $7,080 to roughly $4,720 when the deduction is fully phased in, a loss of about $2,360 per parcel.
The presenter ran a concrete example to make the law's effect tangible for local residents: using Tipton County's average soil-productivity assessment of about $17,700 per acre, a 20-acre parcel yields an assessed value near $354,000. "So if you take a 20 acre parcel, you get a gross assessed value of about $354,000," the Presenter said, then applied the 2% cap and the eventual 33.3% deduction to show the revenue change.
Using simple arithmetic the video shows that at a 2% cap the parcel's pre-deduction maximum tax would be roughly $7,080 (0.02 of $354,000). After a full 33.3% deduction (taxable on ~66.7% of assessed value), the parcel's taxable value would be about $236,000 and the 2% cap would yield roughly $4,720, a difference of about $2,360. The presenter noted these are illustrative, approximate figures and that the countywide effect depends on how many parcels are affected and whether any rates or referenda change in response.
