The U.S. Treasury published new regulations that have important implications for land trusts working on easement or land donations from pass-through entities, such as a partnership or limited liability company. These regulations are dense, complicated and open to further interpretation, but the basic takeaway is that, in certain circumstances, land trusts may need to report and disclose information to the IRS about these donations if the land trust acts as a “material advisor.” If the land trust fails to do so, it could trigger a $200,000 penalty. This creates a first-of-its-kind potential financial liability for land trusts.
Land conservation isn’t just about protecting nature—it brings economic, environmental, and community benefits that enhance quality of life. The resources compiled below outline the many ways open space contributes to clean water, climate resilience, recreation, public health, and local economies. Whether you’re advocating for conservation funding, engaging your community, or strengthening your land trust’s messaging, these resources provide compelling facts and insights to support your efforts.
Many Connecticut towns offer tax abatements to support conservation, but policies vary widely. This compilation of municipal tax abatement policies provides land trusts with real-world examples of how communities incentivize land protection. Whether you’re advocating for a new policy, refining an existing one, or simply exploring ways to strengthen local conservation efforts, this resource offers valuable insights into how towns are using tax incentives to support land conservation.
How do municipal assessors factor conservation easements into property valuations? This report, developed for CLCC by graduate students at the Yale School of the Environment, explores the challenges land trusts face in understanding and navigating Connecticut’s property tax assessment system. Based on surveys, interviews, and workshops, the report highlights knowledge gaps, communication barriers, and opportunities to strengthen relationships between land trusts and tax assessors.
Property tax exemptions for conserved land vary widely across Connecticut, making it essential for land trusts and landowners to understand local and state tax laws. This resource provides an overview of Connecticut’s property assessment statutes (including Public Act 490), insights about how conservation easements impact property valuations (including sample municipal tax abatement policies) local tax abatements, and more. Whether you’re navigating tax exemptions or working with assessors these resources offers valuable tools and research to support your efforts.
There are numerous potential tax incentives for landowners who choose to protect all or part of their land, including, but not limited to, income tax deductions, estate tax benefits, and avoided capital gains taxes.
Please note that this is for informational purposes only. Landowners must consult with their own attorney and tax advisor for complete information on their personal financial situation.