Preservation Fund VI Deduction Screening

Historic Preservation Opportunity

Turn Tax Exposure Into a Potential Investment Opportunity

Historic preservation strategies may allow qualifying investors to combine a private investment with a potentially significant charitable deduction.

Enter a few details below to explore the potential opportunity.

Why This May Create Major Tax Savings

America's historic buildings are expensive to keep standing. Congress decided that private capital, not the Treasury, should carry that cost — so the tax code rewards an investor who permanently protects a certified historic structure. You invest alongside a partnership that acquires and restores the property. The partnership then donates a permanent preservation easement — a promise the building's historic facade can never be altered or torn down. That donated value flows through to you as a charitable deduction, often a multiple of what you invested.

The deduction lands against ordinary income in the year of the gift, which is why it can move a high earner's Effective Tax Rate materially — and why the numbers below are calculated on your own income rather than a brochure example.

The Tax Code Behind It

IRC §170(h)(4)(B) — sets the historic-preservation conditions: the easement must protect the entire exterior and forbid changes inconsistent with the structure's historic character.
IRC §170(b)(1) — caps the current-year deduction at a percentage of adjusted gross income. This illustration applies a 50% of AGI limit, less other charitable gifts.
IRC §170(d)(1) — unused deduction carries forward for up to five additional tax years.
IRC §170(f)(11) — a qualified appraisal and Form 8283 substantiation are required; the appraised value drives the deduction, not the amount invested.
IRC §170(h)(7) — disallows a deduction from a pass-through entity that exceeds 2.5× the partner's basis, the rule aimed at abusive syndicated easements. Legitimate preservation transactions are structured to stay inside it.

Statutory references are provided for context only. This is not tax or legal advice. Deductibility depends on the specific transaction, the qualified appraisal and your own facts — review any opportunity with your CPA and counsel before investing.

Tell Us About You

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Estimated Adjusted Gross Income (AGI) — Annual income / estimated AGI is required to run the illustration.

Estimated AGI for this illustration

The annual QCC capacity is 50% of AGI less other charitable deductions.

Enter an investment of at least $50K and an AGI to run the screening.