VA Land Preservation Tax Credit
The Virginia Department of Taxation allows each Virginia taxpayer who donates a property in perpetuity to take a Land Preservation Tax Credit equal to 40% of the value of any land located in Virginia when that land is granted to a public or private agency/trust for a variety of uses such as historical or conservation preservation, agricultural use, forest use, open space, and/or natural resource conservation. The conveyance must be in perpetuity.
The amount of credit that may be claimed by each taxpayer shall not exceed the following:
- $100,000 for taxable years: 2012, 2013, 2014
- $20,000 for taxable years: 2015, 2016
- $50,000 for taxable years: 2017 and all following years
However, taxpayers who make fee simple land donations on or after January 1, 2015, may claim credits toward their income tax payable up to $100,000 per year provided that no part of their charitable contributions deduction under Section 170 of the IRS code related to such fee simple donations is allowable by reason of a sale or exchange of property. for more information, please contact your accountant and access information on the Virginia Department of Taxation site.
The donation of a conservation easement helps landowners implement their desire to protect the land they own. It can also yield, in appropriate cases, significant tax benefits to the landowner. Old Dominion Land Conservancy makes no guarantees regarding tax credits. Please obtain land valuation, tax, legal, and accounting advice regarding the donation of conservation easements.