December 19, 2015
Congress made permanent a tax deduction for land deemed open space. Once a tax deduction was allowed in 2006, the amount of donated land by conservation easement increased by 33%. That boon to environmentalists came to an end in 2014 with the expiration of the allowable deduction.
Conservation Easement Incentive Act
As part of a 2015 year-end package of tax incentives to benefit charitable acts, Congress made permanent the deduction for conservation easements. Since many municipalities barter development rights for open space, this will ease the pain of land owners and developers who would be required to dedicate a portion of the land as such.
In essence, when the developer of the Chesebro Meadow dedicates 57 out of the 72 Acres as open space, the taxpayer is footing the bill for his entire development.in the form of Federal tax deductions.