A conservation easement must be held by a qualified organization.
According to Section 170(h) of the Internal Revenue Code, a “qualified organization” is either:
- A governmental entity; or
- A 501(c)(3) organization that, pursuant to the Treasury Regulations, has:
- a commitment to protect the conservation purposes of a donation; and
- the resources to enforce the restrictions of the donation.
The Internal Revenue Service considers an organization operated primarily for conservation purposes to have the necessary commitment.