What is a conservation covenant?

A conservation covenant is a voluntary agreement between a landholder and an authorised body (in our case the Queensland Government), to help protect and manage the environment on the property.

The covenant is registered on the land title and it is usually permanent.  This means that the area covered by the conservation covenant is protected, regardless who owns the land in the future.

Having all or part of your land covered by a conservation covenant makes good sense and there may be tax benefits in doing so.

Tax arrangements and concessions

In some cases tax concessions may be available to landowners entering into a conservation covenant. These include an income tax deduction for a decrease in land value (over $5,000) as a result of entering into a conservation covenant (conditions apply: contact our office for details)

Special treatment of capital gains tax is also available under certain conditions, for landowners that sell part of their land.

Incentive payments and funding for undertaking conservation management programs are also available (subject to funding from year to year).

In some cases, local government may also provide a rate discount.

The Australian Federal Government, through Environment Australia and the Australian Taxation Office have information on these tax arrangements for conservation covenants.