Orange County NC Website
Browse       Search
t - <br /> i <br /> t conservation easement, or the other property rights such as an option or lease . Donations of land or <br /> certain interests in land may qualify a donor for certain tax benefits . <br /> 1 <br /> i <br /> 1 <br /> Timing of Acquisition . In most transactions, a land trust will take full ownership of the <br /> property or conservation easements as soon as the terms are worked out and the appropriate <br /> documents signed . However, some landowners may work out agreements where the trust takes <br /> ownership at some future date . <br /> A remainder interest is where a landowner gives his or her property to the land trust but <br /> reserves the right to live on or use the property for his or her lifetime ; e . g . , a "life estate" . The donor <br /> usually qualifies for an income tax deduction at the time of the donation, based on the value of the <br /> property and the life expectancy of the donor. <br /> A landowner can also leave property - land, an easement or other assets - to the land trust in <br /> his or her will . Donation by bequest can significantly reduce the estate tax for the donor' s heirs by <br /> MP <br /> removing the value of the donation from the taxable estate. Howel6r, this approach will not result in <br /> any income tax benefits . <br /> 1 An undivided interest is a portion of the landowner ' s entire Ainterest in a property. For tax <br /> purposes, a landowner may wish to transfer the entire interest in a property to a land trust through <br /> the donation of undivided interests over time. For example, a donor might donate a 20 percent <br /> interest in the property to the trust in each of five years , <br /> f <br /> i <br /> = � z <br /> i <br /> { <br /> r <br /> d <br />