Editing Conservation easement (section)

==Income tax deductions==
Landowners in the United States who donate a "qualifying" conservation easement to a "qualified" land protection organization under the regulations set forth in 170(h) of the [[Internal Revenue Code]] may be eligible for a federal income [[tax deduction]] equal to the value of their donation. The value of the easement donation, as determined by a qualified [[appraiser]], equals the difference between the [[fair market value]] of the property before and after the easement takes effect.

To qualify for this income tax deduction, the easement must be: a) perpetual; b) held by a qualified governmental or non-profit organization; and, c) serve a valid "conservation purpose", meaning the property must have an appreciable natural, scenic, historic, scientific, recreational, or open space value. As a result of legislation signed by President [[George W. Bush]] on August 17, 2006 (H.R. 4 The Pensions Protection Act of 2006), in 2006 and 2007, conservation easement donors were able to deduct the value of their gift at the rate of 50% of their adjusted gross income (AGI) per year. Further, landowners with 50% or more of their income from agriculture were able to deduct the donation at a rate of 100% of their AGI. Any amount of the donation remaining after the first year could be carried forward for fifteen additional years (allowing a maximum of sixteen years within which the deduction may be utilized), or until the amount of the deduction has been used up, whichever comes first. With the passage of the Farm Bill in the summer of 2008 these expanded federal income tax incentives were extended such that they also apply to all conservation easements donated in 2008 and 2009. The provision was renewed annually each year between 2010 and 2014 and was finally incorporated to the tax code without an expiration date in 2015.<ref>http://s3.amazonaws.com/landtrustalliance.org/StatuteConservationEasementDonations.pdf {{Bare URL PDF|date=March 2022}}</ref>