Key points The local field potential (LFP), the low‐frequency part of extracellular potentials recorded in neural tissue, is often used for probing neural circuit activity. Interpreting the LFP signal is difficult, however. While the cortical LFP is thought mainly to reflect synaptic inputs onto pyramidal neurons, little is known about the role of the various subthreshold active conductances in shaping the LFP. By means of biophysical modelling we obtain a comprehensive qualitative understanding of how the LFP generated by a single pyramidal neuron depends on the type and spatial distribution of active subthreshold currents. For pyramidal neurons, the h‐type channels probably play a key role and can cause a distinct resonance in the LFP power spectrum. Our results show that the LFP signal can give information about the active properties of neurons and imply that preferred frequencies in the LFP can result from those cellular properties instead of, for example, network dynamics. Abstract The main contribution to the local field potential (LFP) is thought to stem from synaptic input to neurons and the ensuing subthreshold dendritic processing. The role of active dendritic conductances in shaping the LFP has received little attention, even though such ion channels are known to affect the subthreshold neuron dynamics. Here we used a modelling approach to investigate the effects of subthreshold dendritic conductances on the LFP. Using a biophysically detailed, experimentally constrained model of a cortical pyramidal neuron, we identified conditions under which subthreshold active conductances are a major factor in shaping the LFP. We found that, in particular, the hyperpolarization‐activated inward current, Ih, can have a sizable effect and cause a resonance in the LFP power spectral density. To get a general, qualitative understanding of how any subthreshold active dendritic conductance and its cellular distribution can affect the LFP, we next performed a systematic study with a simplified model. We found that the effect on the LFP is most pronounced when (1) the synaptic drive to the cell is asymmetrically distributed (i.e. either basal or apical), (2) the active conductances are distributed non‐uniformly with the highest channel densities near the synaptic input and (3) when the LFP is measured at the opposite pole of the cell relative to the synaptic input. In summary, we show that subthreshold active conductances can be strongly reflected in LFP signals, opening up the possibility that the LFP can be used to characterize the properties and cellular distributions of active conductances.