This paper deals with taxation of private, nonindustrial forest owners in Sweden. It includes both theoretical findings and empirical results. In the theoretical analysis it is emphasized why progressive income taxation might influence the supply from individual forest owners. Imperfections in the forest account system in combination with progressi‐vity changes are of importance. If taxation influences the individual supply behaviour, then taxation will most certainly affect the aggregate supply from private, nonindustrial forest owners. This is also supported by the empirical analysis, where it is found that a progressi‐vity increase during a period tends to reduce that period's aggregate supply.