Amends GS 105-277.2 by (1) adding a definition for conservation holder, defined as a nonprofit or private corporation that qualifies as a “holder” pursuant to GS 121-35(2), meets the definition of “charitable corporation” under GS 55A-1-40 and is organized to receive and administer agricultural land, horticultural land, or forestland to preserve the uses of such land in perpetuity; and (2) changing the definition of individually owned to also include ownership by a conservation holder.

Amends GS 105-277.3, pertaining to agricultural, horticultural, and forestland special property classifications for tax purposes by adding a new exception to ownership requirements. Exception outlines how a conservation holder’s land use can be exempted from the ownership requirements. Provides that land qualifies for classification if the new owner is a conservation holder, the land was appraised at its present-use value when the title to the land passed to the new owner, the new owner uses the lands for purposes consistent with conservation holder qualifications, the new owner timely files an application as required by GS 105-277.4(a), and the new owner has certified that they accept liability for any deferred taxes and intends to use the land for proper purposes. Mandates that if all qualifications are met, then any deferred taxes remain a lien on the land and the new owner becomes liable for those deferred taxes, which become payable if the land fails to meet any other condition or requirement for classification. Adds a conservation holder exception for property appraised at its present-use value allowing for continuing qualification for appraisal, assessment, and taxation under GS 105-277.2 through GS 105-277.7 without regard to actual production or income requirements as long as the taxpayer remains a conservation holder using the land for proper purposes. Makes technical changes.

Effective for taxes imposed for taxable years beginning on or after July 1, 2026.