Currently, an owner of farmland and related buildings covered by one or more development rights agreements meeting the requirements of Part 361, who is required or eligible to file a return as an individual or claimant under the State Income Tax Act, may claim a credit against the State income tax liability for the amount by which the property taxes on the land and structures used in the farming operation, including the homestead, restricted by the development rights agreements exceed 7% of the household income as defined in the State Income Tax Act, excluding a deduction if taken under the Internal Revenue Code. Under the bill, a person could claim an income tax credit for the amount by which the property taxes exceeded 3.5% of household income. The bill also would reduce from 7% to 3.5% the threshold of adjusted business income required of an owner of farmland and related buildings covered by a development rights agreement who claims a credit under the Single Business Tax.