BlueLine logo
home nav

address
placeholder Title Easement Services
placeholder button easement servicesbutton consultingbutton tax creditsbutton advantagesbutton contact and links
subtitle

Through our affiliate company, Norman Realty, we’ve worked closely with Virginia government and our region’s rural areas for more than 50 years, so we have an intimate understanding of how to establish conservation easements that are economically viable and successfully protect natural lands. We understand and support the intent of the Virginia’s Land Preservation Tax Credit program and believe that:

Landowners are given an alternative option to development, and benefit by receiving income from the sale of tax credits.
   
dash Buyers of tax credits benefit because their Virginia income tax liability can be reduced by using easement tax credits.
   
dash Citizens benefit from the permanent protection of Virginia’s open spaces, wildlife habitat, and agricultural lands.

 

Changes for 2007 and Beyond

In 2007 and in future years, significant changes to the program will include: An annual cap of $100 million of the granting of tax credits, adjustable annually by the Consumer Price Index.

  • A 2% or $10,000 fee to be levied for any transfer or distribution of registered tax credits
  • A reduction in the amount of tax credits granted to a landowner from 50% to 40% of the value of the land gift when giving easement donations.
  • Easements gifted and credits received can be claimed in the year of the gift and the subsequent 10 years until fully expended - an increase of 5 years.
  • The requirement that the Virginia Department of Conservation and Recreation to review easements that will generate more than $1 million in tax credits to verify the specific conservation value of such properties.

BlueLine believes that the additional restrictions for 2007 and beyond will help to ensure the longevity of the program. We believe that open space preservation and the tax paying public will continue to be the beneficiaries of a better managed effort. These changes coincide with changes to the Federal Charitable Contribution Act to draw in the flagrant abuses of easement donations made nationwide. Our hope is that together, the Federal and the Virginia programs will become better aligned in principles and goals to permit efficient market operations, quality tax credits, and the preservation of important lands.