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Conservation Deduction Bill Needs Work to Stop ‘Bad Behavior’

Feb. 21, 2020, 6:12 PM

A bill to curb tax-advantaged land transactions needs some more work before Congress can pass it, said Andrew Grossman, the chief tax counsel for Ways and Means Democrats.

The bill (H.R. 1992, S.170) would prevent partnerships from profiting from the donation of a conservation easement when the charitable deduction claimed is more than two-and-a-half times the original amount invested. Lawmakers need to think through whether the measure would actually stop the abusive behavior, Grossman said.

  • Lawmakers are concerned that syndicated conservation easements—deals involving multiple people claiming a tax break under Section 170(h) for making land-use donations—are ...