Selling Your Credits

Featured-image-sellingcreditsEarning a Conservation Tax Credit

Colorado leads the nation in providing tax credits for the donation of a conservation easement. A landowner may earn a tax credit valued at up to $5,000,000 for the donation of a conservation easement, with the credits being awarded in an amount not exceeding $1,500,000 per year.  Thus, a credit in the amount of $3,500,000 will be awarded as $1.5M in the first year, $1.5M in the second year, and $.5M in the third year.  Further, this tax credit is transferable to a third party. The value of the tax credit earned is 90% of the appraised fair market value of the donated conservation easement. Thus, for example, an easement donation of $2,000,000 yields $1,800,000 of credits.

In 2000, the Conservation Resource Center (CRC), a nonprofit land conservation organization, established the Tax Credit Exchange which created the market to transfer these credits. To date, CRC has facilitated over 2,500 tax credit transfers.

How to Transfer a Tax Credit

1. Register – No Obligation!

By registering with us, you will ensure a place on our priority list. Sellers and Buyers are matched primarily on a first come first served basis. This means that it is important to register as soon as possible (you can register prior to making your donation). Also, when you register with us, it allows us to keep you apprised of statutory and legal developments that may affect the sale of your credits.

The Conservation Resource Center is the only tax credit facilitator that devotes a significant amount of time and resources to research and policy work – work that has ensured the success of the tax credit program in Colorado. As the most experienced and only non-profit tax credit facilitator, the Conservation Resource Center’s Tax Credit Exchange will not only transfer your credits for the highest price, we will also continue to do the work that keeps Colorado a leader in land conservation.

2. Provide Required Documentation

We need to receive required documentation prior to the time of sale. This allows us the opportunity to review your documentation and resolve any issue prior to the transfer of your tax credits.

Please Click Here to View Required Documentation.

3. Execute Transfer Documents

Beginning in 2015, we will transfer credits throughout the year as landowners close their transactions, thus better serving the financial needs of landowners. We are ready to transfer your credits when you are.

As soon as you have closed on your easement donation and provided us with the required documentation, we will match your credits with a qualified buyer and generate the documents necessary to execute the transfer.

4. Receive Your Payment

We also assure the most competitive rate of return to our sellers by continually sampling the market to determine the credit pricing of other facilitators. Donors selling credits through the Conservation Resource Center will receive not only the greatest expertise, but also the highest rates of return. We do the work of finding the highest prices, rather than forcing you to shop for the highest prices.