Office of the Secretary

For Immediate Release: June 8, 2001

Contact: Laura Funderburk 202-208-6416

Interior Secretary Norton Hails President's Tax Relief Provision
- New death tax benefit helps more families contribute a legacy of conservation -

(WASHINGTON) - President Bush's tax relief package expands death tax relief benefits to permit more landowners to grant land for conservation purposes. The bipartisan tax relief bill was signed into law yesterday by the President.

Previously only land located within 25 miles of a metropolitan area, national park or wilderness area, or within 10 miles of an Urban National Forest could be eligible for relief. Under President Bush's Plan, all U.S. land is eligible for death tax relief.

"President Bush's new death tax benefit helps more farmers and ranchers to keep their business in the family and it allows them to contribute a legacy of conservation and environmental protection that will live on for generations," said Secretary Norton.

The current law now permits an executor to exclude 40 percent of the value (up to $400,000 in 2001 and $500,000 in 2002) of any land subject to a qualified conservation easement. A general description of valid conservation purposes is defined as the preservation of land areas for outdoor recreation or the education of the general public.

Other qualifying conservation easements include the protection of a natural habitat of fish, wildlife, or plants, or similar ecosystems; the preservation of open space (including farmland and forest land) yielding significant public benefit for the scenic enjoyment of the general public, or the preservation of historically important land area or buildings.

For example, by including 20 acres of flood plain along Georgia's Chattahoochee River in a conservation easement, a landowner can permanently protect the natural scenic beauty of the river corridor. Or in another example, a river front landowner could place a conservation easement on 41 acres of land along a river. The easement could protect water quality in the river and preserves important wildlife habitat.

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