United States: IRS Weighs In Again On Form Versus Substance Of Charitable Contributions; This Time, To Taxpayer’s Disadvantage
The IRS recently determined that a partner’s contribution of partnership units to an exempt organization where the exempt organization then transferred the same units to a corporation owned by the partner was, in substance, a transfer of partnership units from the partner directly to the corporation and, therefore, did not result in a charitable deduction.
The IRS has a long history of reviewing the substance of claimed charitable deductions resulting from the transfer of business […]