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Legislation Related to Conservation Easements

 

The following are pieces of legislation related to conservation easements in New Mexico.

• New Mexico Land Use Easement Act

• New Mexico Land Conservation Incentives Act

• New Mexico Cultural Properties Preservation Easement Act

• Federal Legislative Changes to the Pension Protection Act of 2006

 

 

 

1. New Mexico Land Use Easement Act

The New Mexico Land Use Easement Act, Sections 47-12-1 through 47-12-6 (NMSA 1978), which aids the landowner who wishes voluntarily to donate a conservation easement intended to restrict the use of a specific parcel of land so as to maintain in perpetuity the character of the land.

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2. New Mexico Land Conservation Incentives Act

In New Mexico, the donation of part or all of the value of a conservation easement may qualify the landowner for a tax credit against his or her New Mexico state income tax liability. Any portion of the tax credit which is not used in the year of the gift may be carried forward and used to offset a landowner’s New Mexico state income tax liability for up to 20 consecutive years until it is fully expended.

During the 2007 Legislative session, Governor Bill Richardson signed HB990 - Real Property Transfers Tax Credit into law. The Real Property Transfers Tax Credit, which is now in effect (January 1, 2008), expands the existing state tax credit currently allowed under the New Mexico Land Conservation Incentives Act for New Mexico taxpayers who donate land or easements for conservation purposes. The tax credit is 50% of the value of the donation, up to $250,000. But perhaps more importantly, the new legislation makes the tax credit transferable.

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3. New Mexico Cultural Properties Preservation Easement Act

The New Mexico Cultural Properties Preservation Easement Act, Sections 47-12A-1 through 47-12A-6 (NMSA 1978), which aids the landowner who wishes voluntarily to donate a conservation easement intended to restrict the use of a specific parcel of land so as to maintain in perpetuity the significant archeological or historical character of that land.

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