Great News for Conservation Donors
Pension Bill 2006
The New Conservation Law

A new law passed by Congress in 2006 provides added incentives for conservation donations of land.

New incentives apply to conservation easements donat6ed in 2006 and 2007.  (Technically, the law says "contributions made in taxable years beginning after December 31, 2005, and before January 1, 2008"; this could be important for some corporate taxpayers that do not have a December 31 fiscal year.)  To repeat, and this is important, unless these new incentives are extended, they will only apply to easement gifts made in 2006 and 2007!!

There are three important changes in the new law.  First, the value of a conservation easement donation can be deducted up to 50% of an individual's AGI for the year of the gift.  Second, there is a 15-year carryforward of any unused deduction amount.  Third, there is an additional incentive in the case of a donation of a conservation easement by a "qualifying farmer or rancher."  A "qualifying farmer or rancher" can be an individual or corporation.  In certain cases, the deduction can be taken up to 100% of the donor's AGI for the year of the gift (that is, 100% of AGI if an individual, or 100% of taxable income in the case of a corporation), again with a 15-year carryforward.

The Payette Land Trust is a non profit (501© 3) dedicated to protecting and preserving open space in Valley County.