The Managed Forest Tax Incentive Program (MFTIP) is a voluntary program whereby landowners with woodlots can reduce their property tax burden by more than 75%. A woodlot must meet minimum criteria for: forested area (9.88 acres), ownership, and agree to manage using good forest management practices. It also requires that a MFTIP Plan be prepared and approved by a Managed Forest Plan Approver or Registered Professional Forester. F Smith Consulting provides staff with both qualifications who can develop and submit your MFTIP Plan for the upcoming tax year.
A MFTIP plan is often a first step in determining what, if any, forest management services a landowner requires and setting a clear scope of what should be considered in the coming year. Generally, MFTIP plans reflect the already existing management activities of the landowner, and simply provide further advice and guidance to enhance the existing stewardship of the woodlot. Lastly, the real benefit that most landowners report is the opportunity to participate in the inventory process with our plan approver and forester Fraser Smith, and walk the property asking questions or gaining insight from a forest professional.
Landowners report that the fee for a MFTIP Plan is paid for within the first year or two of tax savings with the remaining 8-9 years of the plan as additional savings. Generally, the larger the property, the greater the savings.