7th Circuit Affirms Tax Court: No Charitable Deduction for Donation of House to Fire Department

In 2009 I wrote in IRS is Right To Deny Charitable Contribution of Home to Fire Department that, Taxpayers who donate their homes to the fire department in exchange for the fire department’s promise to demolish the…

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TIGTA: 82% of Investment Theft Loss Claims are Erroneous

Taxpayers and their advisors have good reason to want to categorize losses as theft losses rather than investment losses. Theft losses are treated as ordinary losses and are deductible in the year incurred.¹ Investment losses are treated as…

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Constructive Dividends and the Substance Over Form Doctrine

Jack Townsend has an excellent post today (all of his posts are excellent) about C corporation constructive dividends. In United States v. Ellefsen, ___ F.3d ___, 2011 U.S. App. LEXIS 18684 (8th Cir. 2011), the…

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Tax Equality Proposal: Abolish the Standard Deduction and Let Poor People Itemize

In a recent post I criticized Howard Gleckman of Tax Vox for claiming that lower-income taxpayers who don’t itemize their deductions receive no benefit from their charitable contributions even though these taxpayers “gave about 3.5% of their…

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CEOs who Reduce Corporate Tax Liabilities Deserve High Compensation

Peter Whoriskey of the Washington Post apparently thinks he’s stumbled onto something important in Some Companies Pay Their CEOs More than Uncle Sam: It has become a bipartisan article of faith in some quarters that…

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