Conservation easements are typically given to a qualified organization. The qualified second party may be a municipality or a land protection agency, also known as a land trust. The purpose of the easement must be conservation.
When these conditions are met, the difference between the value of the land before the easement and the value of the land after the easement may be taken as a tax deduction. The current law allows this deduction to be up to 50% of the adjusted gross income (AGI) of the taxpayer. The remaining balance may be taken over a period of 16 years until the entire value is deducted.