Tax Benefits

Congress Approves Renewed Enhanced Tax Incentive

For LandownersWho Protect Land With Conservation Easements

Congress in December of 2010 renewed a tax incentive for private landowners—especially working family farmers and forest landowners—who protect their land with a voluntary conservation agreement.  The incentive, which had expired at the end of 2009, brings back enhanced tax incentives for landowners.

Conservation-minded landowners now have until December 31, 2011 to take advantage of a significant tax deduction for donating a voluntary conservation agreement to permanently protect important natural or historic resources on their land.  When landowners donate a conservation easement to Alabama Land Trust, Georgia Land Trust or any other qualified land trust or public entity, landowners maintain ownership and management of their land and can sell or pass the land on to their heirs, while foregoing future development rights. 

The enhanced incentive applies to a landowner’s federal income tax.  It:

– Raises the deduction a donor can take for donating a voluntary conservation agreement from 30 percent of their income in any year to 50 percent;

– Allows farmers and ranchers to deduct up to 100 percent of their income; and

– Increases the number of years over which a donor can take deductions from 6 to 16 years.

For details, go to:

http://www.landtrustalliance.org/policy/tax-matters/the-enhanced-easement-incentive

A Tax Guide to Conservation Easements

A Tax Guide to Conservation Easements is a comprehensive book on the tax benefits of the charitable contribution of a conservation easement. The Guide provides a detailed explanation of the complex and extensive requirements of the federal tax code and related concepts, including the rules governing the operation of tax-exempt organizations such as land trusts. There are plentiful examples and excellent cross referencing.

The guide can be ordered via email at orders@islandpress.org

 or visit the webiste at: http://islandpress.org/

Georgia Conservation Tax Credit (GCLTC)

The state of Georgia has a tax credit for donors of conservation land. The Georgia Department of Natural Resources reviews applications for the credit for their appropriateness. Click here for more information on the GCLTC.

Private Landowners Network

The Private Landowners Network (PLN) is a trove of general information on land protection, as well as many nuts and bolts articles on the practicalities of land protection, including estate planning, tax benefits, appraisal. In particular, make sure to go to the PLN Library.