At the end of last year, the enhanced deduction for conservation easement donations expired. To restore—and make permanent—this enhanced incentive, bipartisan legislation introduced the Conservation Easement Incentive Act to the U.S. House (H.R. 641) and the U.S. Senate (S. 330) in February this year.
The House has already voted to pass the incentive with all four of our U.S. representatives from Iowa in favor of the measure. This bipartisanship shows broad support for an act important to Iowa.
Now the bill awaits action from the Senate. Here are the rules the act would reinstate and make permanent:
- 50 percent: Deduction from income for landowners who donate a conservation easement (up from 30 percent)
- 100 percent: Maximum deduction from income for qualifying farmers and ranchers
- 15 years: Carry-forward period for deductions by donors with a voluntary conservation agreement (up from five years)