Easement Legislation Removed from ‘Build Back Better’ Plan

The Charitable Conservation Easement Program Integrity Act (HR 4164/S 2256) is bipartisan legislation  that targets abusive conservation syndications. It is under consideration in Congress but is no longer being considered as part of the Biden administration’s “Build Back Better” plan.

The legislation seeks to impose a limitation on tax deductions for qualified conservation contributions made by certain partnerships if the amount of the contribution is more than 2.5 times the sum of each partner's relevant basis in the partnership. This limitation would also apply to other pass-thru entities, such as S corporations.

Several tax provisions have been removed from the plan in hopes of reaching consensus for the total package, and supporters continue to advance it in Congress.