The Sixth Circuit Court of Appeals has affirmed the Tax Court's holding that a married couple who created business and charitable trusts that lacked economic substance did so fraudulently and were therefore liable for income taxes, self-employment taxes, and civil and accuracy-related penalties.  MORE »

The Seventh Circuit Court of Appeals has affirmed the Tax Court's denial of an estate tax charitable deduction based on the fact the estate failed to properly reform a defective charitable remainder unitrust via a timely judicial modification and despite the estate's argument that it made a good faith effort to substantially comply with the law. This case provides a good lesson in the remedies available to improperly drafted testamentary CRTs and how "not" to apply them.  MORE »

The Third Circuit Court of Appeals has affirmed the decison of the District Court in Edmond C. Galloway v. United States in denying an estate tax charitable deduction because a split-interest charitable trust did not take the form of a qualified charitable remainder annuity trust, charitable remainder unitrust, or pooled income fund in compliance with IRC section 2055(e).  MORE »

The Sixth Circuit of Appeals has affirmed the Tax Court's decision that a couple's contributions of conservation easements to a nonprofit were qualified conservation contributions and, contrary to the Commissioner's opinion, made "exclusively for conservation purposes."  MORE »

The Second Circuit of Appeals has affirmed a district court decision that denied a testamentary trust's charitable tax deduction and refund request based on the fact a power of appointment exercised by the surviving spouse was made on her own accord rather than under the terms of the trust instrument.  MORE »

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The Sixth Circuit has upheld a Tax Court decision that the Lapham Foundation was a private foundation rather than a supporting organization because it failed the integral-part test of reg. section 1.509(a)-4(i)(3). This case is instructive for gift planners because of other integrated planned giving elements.  MORE »

Citing Addis v. Commissioner, the Ninth Circuit, affirming the Tax Court, has held that a charity failed to provide a good-faith estimate of the value of goods and services that Gary Weiner received in consideration for donations involving split dollar insurance agreements, and has held that the IRS properly denied his 1997 and 1998 charitable contributions.  MORE »

Ninth Circuit Judge John T. Noonan, affirming the Tax Court, has held that the National Heritage Foundation failed to provide the value of goods that Charles and Cindi Addis received for contributions to NHF in a charitable split-dollar insurance transaction and has thus denied the claimed charitable deductions.  MORE »

The Ninth Circuit has affirmed the tax court's ruling that reg. section 53.4942(a)-2(b)(2) improperly defines the "distributable amount" of a private foundation to include amounts placed in nongrantor charitable lead trust that makes payments to the foundation.  MORE »