Sponsors (4)
The bill incentivizes conservation by granting large tax credits for donated trail and scenic lands—expanding public access and protecting open space—but limits who can immediately benefit (nonrefundable, no double charitable deduction) and creates valuation, scope, and rights-transfer complexities that may raise disputes and reduce accessibility for some landowners.
Landowners who donate qualifying trail or scenic land can claim a federal tax credit equal to the donated property's fair market value, reducing their federal income tax liability.
Donations of trail corridors and scenic lands are more likely to be conserved and kept open for public recreation, preserving access to trails and outdoor spaces.
Portions of the credit tied to business-use property are treated as a business tax credit, allowing income-producing landowners and small businesses to offset business tax liability.
Taxpayers who lack sufficient tax liability (including many low- and moderate-income donors) cannot immediately benefit because the credit is nonrefundable.
Donors who claim the credit cannot also take a charitable deduction for the same donation, reducing flexibility and potentially increasing their upfront taxable income despite receiving the credit.
Valuation based on 'highest and best use' can raise claimed property values for trail-adjacent land, increasing IRS valuation disputes and audit risk for donors.
Based on analysis of 2 sections of legislative text.
Creates a nonrefundable federal tax credit equal to the fair market value of qualifying conservation contributions that protect National Scenic Trails and corridors.
Official title: Amend the Internal Revenue Code of 1986 to allow a credit against income tax for qualified conservation contributions which include National Scenic Trails.
Introduced June 8, 2026 by Richard Blumenthal · Last progress June 8, 2026
Creates a new nonrefundable federal income tax credit equal to the fair market value of a qualified conservation contribution that protects a National Scenic Trail or its corridor. The credit adopts most of the charitable-contribution rules in current law, limits corridor width, treats business-use portions as business tax credits, allows a 10-year carryforward, and requires Interior (with Treasury) to study making the credit refundable or transferable and report to Congress within four years.