IL SB2281

Creates a state income tax credit of up to $200,000 for taxpayers who donate qualified real property interests (fee simple, remainder interest, or perpetual conservation easements) to public or private conservation agencies for conservation purposes

Effective for taxable years beginning January 1, 2025, with unused credits carried forward for up to 20 consecutive tax years; credits may also be transferred to other taxpayers for consideration

Requires donations to be substantiated by a qualified appraisal and restricts pass-through entities from claiming the credit unless they owned the property for at least 3 years (with an exception for family-held entities)

Prohibits taxpayers from claiming this credit alongside any similar credit for the same project, and prevents both a pass-through entity and its members from claiming the credit for the same donation

Requires the Department of Natural Resources to submit a report to the General Assembly within 5 years showing lands protected under the program, and directs both DNR and the Department of Revenue to adopt implementing rules