If you donate a conservation easement that meets federal tax code requirements, the value of the easement can be treated as a charitable gift and deducted from income tax (to the extent your particular tax situation allows). For income tax purposes, the value of the easement is the difference between the land's value with the easement and its value without the easement. If a property is worth $500,000 unrestricted, for example, and an easement that precludes further development is placed on it that drops its value to $200,000, the value of the donation is $300,000. Easement values vary greatly; in general the highest easement values result from very restrictive conservation easements on tracts of developable open space under intense development pressure.

In order to qualify as a charitable donation, an easement must meet federal tax code requirements - in essence, must provide public benefit by permanently protecting important conservation resources. However, an easment does not have to cover all of the property, preclude all use of development, or allow public access to qualify.