State Conservation Credits
- Typical userResidents of states that issue them
- IRS scrutinyYellow
- Sponsors0
Overview
Some states, such as Colorado and Virginia, issue transferable tax credits for conservation easements.
IRS scrutiny
Accepted when documented carefully, and the IRS reviews it more often.
Common questions
How large is Colorado's conservation easement credit?
Certificates are issued for 90% of the donated value for easements donated in 2021 to 2026 and 80% for 2027 to 2031, up to $5 million per donation. Credits over $1.5 million are issued in increments of up to $1.5 million a year, and no certificates will be issued for years after 2031.
Source: Colorado Division of Conservation, Tax Credit Certificates
How does Virginia's Land Preservation Tax Credit work?
The credit equals 40% of the value of a qualified gift of land or an easement. Taxpayers may use up to $20,000 a year as set in the state budget, carry unused credit forward up to 10 years, and transfer or sell credits to other taxpayers.
Sponsors that offer this strategy
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Advisors who offer this strategy
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