You may qualify for a federal and New York State Charitable Gift Income Tax Deduction to the extent allowed under law if you donated a conservation easement, and interest in your property, or if you donated all of your interests in your land to Rensselaer Land Trust.
To quality, you must have an income that can be offset by a charitable gift income tax deduction.
Donated Conservation Easements
For donated conservation easements, the value of the donation is determined by an appraisal of the value of the land with and without the easement. This difference in value is deemed a gift to the land trust for which you would receive a gift income tax charitable deduction to the extent allowed by law.
Federal and state charitable gift income tax deductions for donating a Conservation Easement is limited to 50% of your AGI per year with the remainder spread out over a maximum of 15 years also at the 50% of AGI level.
For qualifying farmers and ranchers, the limit is up to 100% of AGI level per year with the remainder spread out over the same following 15 years.
This charitable gift income tax deduction also applies to donations of a remainder interest when the landowner retains a life estate.
If you donate your land (transfer of title) to the Rensselaer Land Trust, the appraised value of the land is treated as a charitable gift income tax deduction in the year that the land donation was made to the extent allowed by law. The carry forward provision of 15 years does not apply to donated land.
Rensselaer Land Trust recommends that you consult with your accountant, financial advisor and tax attorney concerning your qualification for these possible tax benefits. Rensselaer Land Trust offers no opinion and makes no representation as to your specific tax situation. This information is provided solely for the purpose of general education on the tax treatments of certain transactions.
IRS Circular 230 Disclosure: Pursuant to Regulations Governing Practice Before the Internal Revenue Service, any tax advice contained in this communication (including any attachments), unless explicitly provided otherwise, is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) promoting, marketing or recommending to another part any transaction or matter addressed herein.