Tax issues

By implementing permanent conservation protections, you might qualify for a variety of tax reductions. These tax benefits can assist those of moderate as well as wealthy means.

Added together, these reductions can sometimes reduce the "bottom line" cost of your donation by well over 50%.

Talk it over

Even if tax savings aren’t a prime motivator for your conservation efforts, don’t ignore them. Talk with your tax advisor about issues like these:

How to time your gift for maximum advantage.
How to weigh the benefits of making a bequest (which provides no tax benefits during your lifetime) vs. other options.
How tax benefits can make your gift more affordable. For example, landowners who thought they needed fair market value often discover they can afford a bargain sale—while those considering a bargain sale discover they can afford to donate a larger portion of the price.

Finally, it bears repeating: Tax laws are complex and constantly changing. Always get professional advice!

For more information

Related links on the Iowa income tax credit for contributions of conservation land, effective for the 2008 tax year:

More information on tax issues:
Income taxes | Capital gains taxes | Estate & inheritance taxes | Property taxes | Cautions