Land preservation tax credits; application for credits prior to any donation. (HB1694)

Introduced By

Del. Randy Minchew (R-Leesburg)

Description

Land preservation tax credits; application for credits prior to any donation. Provides that beginning January 1, 2014, a taxpayer requesting at least $1 million in land preservation tax credits with respect to a proposed donation could elect to apply to the Department of Taxation for a conditional issuance of tax credits prior to making any donation of land. However, the bill also provides that no tax credit of $1 million or more could be conditionally issued for any proposed donation unless the conservation value of the proposed donation is verified by the Director of the Department of Conservation and Recreation.

The Tax Commissioner, in general, would be required to provide such donors with a determination letter within 120 days conditionally issuing the land preservation tax credits, in whole or in part, or denying the application for tax credits. After receiving the Tax Commissioner's determination letter, the donor could complete the conveyance of the donation and in such case would provide the Department with certified copies of the recorded deeds and instruments conveying the donation. Upon the Department's receipt of the certified copies, the donor's application for land preservation tax credits would be deemed complete at that time. The Department then would provide the donor with a written certification issuing the tax credits that were previously conditionally issued. If the Tax Commissioner issues land preservation tax credits to any donor who elected to apply for the credits prior to making any donation, the fair market value of the donation would thereafter not be subject to dispute, except upon a demonstration of the presence of fraud or the misrepresentation of a material fact by the taxpayer. Read the Bill »

Outcome

History