Benefits

Benefits of a Conservation Easement

How Can We Work Together?

The Sagebrush Steppe Regional Land Trust works with landowners interested in ensuring that their land remains open and undeveloped. Although the land trust can purchase or accept property, the preferred method of preservation is by conservation easement. Since the land trust is a non-profit organization, donations of property or easements may reduce the landowner's estate, income, or property taxes (check with an accountant). And the land trust, as an independent organization, has the flexibility to work with individual landowners, tailoring the terms of each easement to the landowner and property.

What is an Easement?

A conservation easement is a legal agreement between the property owner and the land trust which can be used to limit certain uses, such as development, forever. The landowner is assured the land will never be divided up and developed while the land trust furthers its
conservation goals. It's a win-win situation.

The Benefits of a Conservation Easement

Open spaces and wildlife habitat are preserved forever.

Land remains on the tax rolls.

Land owners can continue farming and ranching the land.

Future owners are bound by easement terms.

May result in income and estate tax benefits. (Please consult your legal and tax advisors.)

Written to adapt to particular land and owner needs.

Tax Benefit

Donation of a conservation easement is a tax-deductible charitable gift, provided that the easement is perpetual and is donated "exclusively for conservation purposes" to a qualified conservation organization or public agency. Conservation purposes include protection of valuable farmland, relatively natural wildlife habitats and scenic open space, among others. The Sagebrush Steppe Regional Land Trust (SSRLT) is a non-profit, tax-exempt corporation dedicated to the conservation of the natural and agricultural resources of Southeast Idaho. SSRLT is recognized by the Internal Revenue Service as an appropriate organization to receive and act as steward for conservation easements. SSRLT is also qualified to assess the conservation features of a property, to document that the property meets Internal Revenue Code Criteria.

To determine the value of the easement donation, the landowner has the property appraised both at its fair market value without the easement restrictions and at its fair market value with the easement restrictions. The difference between these two appraised values is the easement value. Detailed federal regulations govern how these appraisals are done. Sagebrush Steppe Regional Land Trust can recommend credible appraisers who are aware of these regulations and experienced in completing easement appraisals.

The easement donor is eligible to deduct up to 30% of his adjusted gross income each year for the year of the easement donation and the following five years, or until the value of the easement gift is used up, whichever occurs first. (In the case of a conservation easement donated on a property within the same year that it is acquired, the donor may deduct up to 50% of adjusted gross income in the first year). Easement donors may gain greater tax benefits, especially where state tax deductions are applicable. A donor should consult with his or her legal and financial advisors.