COLUMBUS, OH -- During this tax season, landowners are reminded that reforestation projects completed in 2004 not only benefit the environment, but may qualify as a deduction on next year's federal taxes, say state foresters with the Ohio Department of Natural Resources (ODNR).
The IRS allows eligible landowners a 10 percent tax credit on the cost of reforestation projects, which can be taken directly off an individual's federal income taxes, according to John Dorka, chief of the ODNR Division of Forestry. For example, someone spending $2,000 to generate a forest on their land could directly deduct $200 from the amount of federal taxes they owe.
In addition to the tax credit, Dorka advises landowners they can deduct up to 95 percent of certain reforestation expenses over an eight-year period.
"Planting forests is a win-win situation for landowners, who can receive significant tax savings while helping Ohio's environment," Dorka said. "Creating new forests provides tremendous wildlife benefits that also safeguard our invaluable air and water resources." Projects the IRS approves for the reforestation tax credit, include: the purchase of seedlings, labor and tools, site preparation and depreciation on equipment associated with tree planting. Detailed information on the tax-saving programs is available on the Internet at timbertax.org
State foresters can assist landowners in establishing forests by offering advice through on-site consultations with service foresters and the sale of seedlings from the Marietta Tree Nursery. ODNR is the largest producer of tree seedlings in the state, producing more than 3 million trees each year for reforestation efforts. More than a dozen varieties of trees are available for sale, including: white pine, silky dogwood, Norway spruce, Austrian pine, red maple and Ohio Buckeye. The trees, available in bundles of 50, are 1- to-2 years old and bare-rooted. A minimum order of 100 trees is required.
Selecting the proper type of tree for a particular location and soil characteristic is essential for a successful planting. ODNR service foresters are available to help landowners in choosing the right trees for their particular objectives. This assistance is especially recommended for plantings in excess of 3 acres. ODNR foresters have planted more than a half-billion trees in Ohio since state reforestation efforts began more than 80 years ago.
For specific information about the availability of various tree species and their prices, or for a list of service forester office locations (by county) and telephone numbers, contact the ODNR Division of Forestry toll free at 1-877-691-8733 or on the Internet at ohiodnr.com