Who obtains the appraisal to determine the value of the conservation restriction for tax purposes and how is the value determined?
A qualified appraisal is required to claim a tax deduction for a donated restriction. The landowner is responsible for securing and paying the cost of the appraisal, but EQLT is willing to assist the landowner in the process of identifying and selecting an appraiser. The value of the conservation restriction is the difference between the highest market value of the property before imposition of the restriction and the market value of the property after the restriction is in place. This is called the “before and after” approach to valuation. The “after” value typically reflects the forest, agricultural, and/or recreational value of the property.
Related Questions
- Who obtains the appraisal to determine the value of the conservation restriction for tax purposes and how is the value determined?
- Who gets the appraisal to determine the conservation easements value for tax purposes and how is the value determined?
- How Do I Determine Real Estate Value Based on Tax Appraisal?
