Retaining Rights With a Charitable Conservation Easement

Houston Tax Attorney

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Conservation easements can result in significant charitable deductions for real estate owners and investors. But can an owner or investor retain rights to the property and still get the charitable deduction. The courts continue to define when this is possible. The Pine Mountain Preserve LLLP v. Commissioner, 151 T.C. 14, case is the latest case […]

Donations to Pastor are Taxable Income, Not Gifts

Houston Tax Attorney

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The distinction between taxable compensation and non-taxable gifts comes up in a number of contexts and has led to a number of tax disputes.  Severance payments made to workers are an example.  The recent Felton v. Commissioner, T.C. Memo. 2018-168, court case addressed this issue in the context of segregated donations made by a congregation […]

Conservation Easement Denied for Private Golf Course

Houston Tax Attorney

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Tax benefits can cause investors to put money were they otherwise would not.  The conservation easement is one example.  Conservation easements reward investors with charitable deductions for putting money into projects that conserve real property.  The charitable deductions can be very large in relation to the amount invested.  The recent Champions Retreat Golf Founders, LLC v. […]

Does Changing Roof Mean No Facade Easement Deduction?

Houston Tax Attorney

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Donating the rights to change the facade of a building can qualify for a charitable deduction.  The donation helps ensure that the historical significance of the building is not compromised.  But what if you retain the right to change the roof to the building?  Can you still qualify for a facade easement deduction?  The court […]

Substantial Compliance vs Strict Compliance

Houston Tax Attorney

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There are a number of cases where taxpayers have had to pay more tax than they should due to technical foot faults. These cases often come up when the IRS employees believe that their job is to look for strict compliance (100%) rather than substantial compliance (something more akin to 80%). This brings us to […]

Taxation of Employee Donated Sick Leave

Houston Tax Attorney

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Employees often want to donate paid sick-leave time to deserving co-workers who find themselves in a pinch. The IRS recently released another ruling, PLR 200720017, that identifies a few of the planning considerations in donating sick-leave to co-workers. The federal tax consequences of donating paid sick-leave depends on whether the donation is made through the […]