A bill to amend the Internal Revenue Code of 1954 to exclude from gross income amounts received from certain sales of wetlands to the United States, any State, or certain tax-exempt organizations, if the primary use of such land after the sale if for purposes of fish and wildlife conservation or preservation as a natural area.

Amends the Internal Revenue Code to exclude from gross income gain from the sale of wetlands to an eligible conservation authority which are used for fish and wildlife conservation or preserved as a natural area. Requires that such sales be approved by State and Federal officials. Treats involuntary conversions of wetlands as sales for purposes of such exclusion.