In watersheds, soil and water resources management and increase stockholders income is the main aims of watershed management. Provide the appropriate pattern of land use is one of the most important measures in watershed management to optimize land use. In this study, using Linear Programming Model, Simplex and GIS, optimization of land use in the current situation scenario, management scenario and Standard scenario in the Chehel-Gazi watershed, Kurdistan province, Iran, were investigated. The results showed that compared to the current situation, annual net income increases 22. 50 percent under land use management scenario and 143. 65 percent increase in Standard condition scenario. The results of the scenarios sensitivity analysis showed that in the current situation scenario and management scenario, changes in the area of orchards and then pasture have the greatest impact on stockholders’ incomes. However, under the optimal management scenario of land, changes in rangeland and gardens area have more impact on revenue. According to the results, 91. 22 percent of annual net income in the current situation, the status of land management 42. 41 percent and 47. 142 percent increase in the standard setting. Also, the income per hectare in mixed-used pasture-almond, compared to other Land use, about three fold will be increased.