Interested in protecting your farmland?
The most common way we help landowners protect their farmland is with a tool called a “conservation easement.” A conservation easement is a voluntary legal agreement that allows a landowner to permanently protect their farm as a farm, while retaining ownership and the ability to sell or pass on to heirs. Conservation easements are perpetual. Future owners of the land are held to the terms of the agreement and the Sustainable Iowa Land Trust is responsible for permanently monitoring and enforcing the terms. A conservation easement is an effective tool to keep your land in conservation farming no matter who owns it in the future.
A future farmstead can be built into the agreement if there isn’t one there already. The conservation easement can be tailored to the wishes of the landowners, such as allowing sustainable forestry or running an ag-related business. The conservation easement may apply to all or a portion of the property. Donors may receive an income tax deduction up to 16 years and 100% of their Adjusted Gross Income and possible estate tax benefits. We advise landowners to consult with their tax attorney.
A conservation easement does NOT open your land to the public. Land protected with a conservation easement is still your land and no one has the right to access it without your permission.
Land Donation
Donating your farm for conservation is one of the finest legacies a person can leave to future generations. If you choose to donate your farmland, we will work with you to identify the best arrangement. In some cases, the land is sold to a private owner, subject to a conservation easement held by the Sustainable Iowa Land Trust. (Proceeds from such a sale could fund the our long-term management of the conservation easement and/or help us to protect even more land.) The full market value of land donated to the nonprofit Sustainable Iowa Land Trust is tax deductible as a charitable gift.
Land Donation with a Lifetime Income
If you have land you would like to protect by donating it the Sustainable Iowa Land Trust, but you need to receive income during your lifetime, consider a reserved life estate, a charitable gift annuity or a charitable remainder unitrust. Charitable gift annuities and charitable remainder unitrusts are most useful for highly appreciated land, the sale of which would incur high capital gains tax.
Whatever you choose, you gain peace of mind:
- Keeping the farm in the family
- Financial security in retirement
- Leaving a legacy
- Being fair to your heirs
- Improving soil and water quality in Iowa
- Creating new opportunities in our rural communities
- Growing healthy food Iowans can eat
- Staying on your land for as long as you like
- Enjoying the benefits of a significant charitable tax deduction
- Reducing the capital gains liability of selling other parcels
- Taking the value of the farm out of the expense of your estate
- Reducing the chance for strife among heirs
- Leaving a food-producing legacy for all Iowans
- Protecting your farmland from getting re-zoned
Learn More
OPTIONS FOR PROTECTING YOUR LAND
CONSERVATION TAX INCENTIVES
Call us at (319) 800-8108 or contact us online for a confidential conversation, or if you would like to arrange for a site visit with our staff.
*Parts above courtesy of the Land Trust Alliance.