Tax Advantages with Conservation Easements

Conservation Easements are an excellent method of obtaining income and/or estate tax benefits from a property. This works especially well with larger parcels. The Renegade Ranch Property is well suited for the baseline studies and conservation easement acceptance work done in order to allow the expedient placement of a conservation easement by a new owner on the property.

By permanently donating the future development rights inherent in a parcel of property to a private land trust or government entity, a landowner can immediately obtain an income tax charitable deduction and dramatically reduce the market value of acreage used to compute estate taxes. This happens without the loss of title to the land and without having to provide public access to acreage. Generally, the tax deduction for all individuals is limited to 30% of adjusted gross income for a given tax year and can be spread over six years.

Benefits:
1. Retained private ownership
2. Federal, State, and Capital Gain Tax relief
3. Lower basis in property at time of death for estate taxes
4. Lower basis in property for property taxes

Important Note: The above information is deemed reliable but not guaranteed. Consultation with your attorney and accountant is recommended.

 

 

 

 

 

 

 

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