Beth Kanter's Blog. Nonprofit Law Blog. Nonprofit Law: CharityLawyer. NPQ - Nonprofit Quarterly. Nonprofit Law Prof Blog. In the fourth in a line of cases, Kaufman v. Commissioner, T.C. Memo. 2014-52 (Kaufman IV), the Tax Court sustained the IRS’s complete disallowance of charitable deductions claimed under IRC § 170(h) for a façade easement donation. The court also sustained the imposition of penalties on the basis of gross valuation misstatement, negligence, or substantial understatement of income tax.
The property involved is a residential rowhouse in the South End historic district of Boston, Massachusetts. In the first two Kaufman cases (Kaufman v. In the third Kaufman case (Kaufman v. And so it apparently was. One of our directors, Steve McClain, owns fifteen or so historic properties and has taken advantage of this tax deduction himself. The Tax Court also noted an article written by a former President of NAT that stated, among other things: By preserving a piece of historic architecture for future generations, the property owner can get a big tax deduction with little cost or risk. Nancy A.