For
certified historic structures, a tax credit of 20% of qualified expenditures is allowed.
The Code and regulations define "conservation purposes" for historic easements as required in IRC [section] 170(h) to include preservation of a "
certified historic structure," including any building, structure or land area listed in the National Register of Historic Places or any building located in a registered historic district with regard to which it is certified as historically significant by the Department of the Interior (which via the National Park Service administers the National Register) (IRC [section] 170(h)(4)(C)(ii) and Treas.
The contributed easement must have a conservation purpose (i.e., preserving land areas for outdoor recreation or public enjoyment, protecting a relatively natural habitat or ecosystem, preserving open space for the enjoyment of the general public or pursuant to a governmental conservation policy, or preserving an historically important land area or
certified historic structure) in order to qualify for the deduction.
A
certified historic structure means a building is listed in the National Register of Historic Places or located in a registered historic district and certified by the Park Service as contributing to the historic significance of that district.
In 2003, the apartment building was classified as a
certified historic structure. Later that year, Herman contributed an easement to the National Architectural Trust Inc.
Historic preservation: This may be met by showing the preservation of a "historically important land area" or "
certified historic structure." The legislative history describes a "historically important land area" as one that is important in its own right or in relation to "historic structures."
The term "
certified historic structure" is defined by IRC Section 47 as any building (and its structural components) which is either listed in the National Register of Historic Places or located in a registered historic district and is certified by the Secretary of the Interior as being of historic significance to the district.
* Preservation of historically important land or a
certified historic structure.
* Preservation of a historically important land area or a
certified historic structure.
The qualified expenditures include any amount charged to a capital account for which depreciation is allowed and which is nonresidential real property" or residential rental property (but only if a
certified historic structure).
* A building must be a
certified historic structure listed in the state's register or the National Register individually, or as a building that stands in a designated local historic district;
Facade preservation easements permanently prevent demolition, neglect and insensitive alterations to the exterior facade of a
certified historic structure. By donating a facade preservation easement in perpetuity to a qualified 501(c)(3) nonprofit charitable organization, such as Preservation Easement Trust, the property owner promises to maintain the easement-protected property while adhering to the easement restrictions.
