Two New Conservation Easement Disputes Added to Tax Court Docket

Two more conservation easement claims have been added to the growing pile of cases at US Tax Court over the controversial tax break.

345 Little Creek LLC and North Fork Property LLC, both of Georgia, petitioned the Tax Court to contest the IRS’s denial of claimed charitable contribution tax deductions for easements and penalties it asserted.

To claim such a deduction, a land owner donates an easement encumbering the use of a property. The IRS has scrutinized many of these donations, especially those originating from partnerships with syndicated deals that involve investors raising funds and then claiming the tax deduction. ...