Landowner Options

Tax Incentives for Conservation Easements

Congress has approved an expansion of the federal conservation tax incentives for conservation easements through 2009.  The new regulations increase the deduction for donating a conservation easement from 30% of adjusted gross income to 50%, as well as extending the carry-forward period for tax deductions from 6 to 16 years.

In addition, savings on inheritance taxes have also been enhanced by the federal act which offers a $100,000 to $500,000 additional tax savings to families who give easements, if their land is within 25 miles of a national park, metropolitan area or wilderness area. The heirs to any sizable estate will owe 55% of the entire value within nine months of the death of the last surviving parent. In most cases, significantly restricting the number of home sites permitted on the land lowers its "market value," or the price for which it could be sold on the open market; a conservation easement is a great way, and often the simplest and most efficient way, for parents to pass down property to their children.

If you own land with important natural, cultural, or historic resources, now may be an advantageous time to donate a conservation easement. You can conserve the land you love and protect Tennessee’s natural heritage, while maintaining your private property rights and potentially realizing significant federal tax benefits.

For more information, please contact Kathleen Williams at (615) 386-3171 or by email at tenngreen@earthlink.net.

This helpful book is an excellent guide to help you determine how you can preserve your property for future generations through conservation easements and other methods.

Click here to download the book in PDF (Adobe Acrobat Reader) format or please contact us to order a print copy.

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