The Tax Court finds that a clinic offering free fertility services to a limited population is not a qualified non-profit.
Free Fertility Foundation v. Commissioner, 135 T.C. No. 2 (2010)
Developments in Federal and State Tax Litigation
The Tax Court finds that a clinic offering free fertility services to a limited population is not a qualified non-profit.
Free Fertility Foundation v. Commissioner, 135 T.C. No. 2 (2010)
Taxpayer’s failure to file an election to aggregate real estate activities results in passive activity disallowance of deductions.
Read the opinion here:
Shiekh v. Commissioner, T.C. Memo 2010-126
The Seventh Circuit reverses the Tax Court and holds that innocent spouse claims must be made within two years of the beginning of IRS collection activity.
Lantz v. Commissioner, No. 09-3345 (7th Cir. June 8, 2010)
For more discussion on the Lantz decision and Sec. 6015(f) please click here.
Second Circuit affirms the Tax Court holding that capital contributions to an S Corp. are not “tax-exempt income.”
Nathel v. Commissioner, Docket 09-1955 (2d Cir. June 2, 2010)
The Fifth Circuit vacates the district court’s ruling on assignment of tax liability pending resolution of the matter in Tax Court.
Verizon Business Network Services v. Day-Cartee, Docket 09-604070 (5th Cir. May 26, 2010).wpd
The Tax Court (Judge Haines) holds that under Sec. 1256 a foreign currency call option is not a foreign currency contract and the marked-to-market provisions of Sec. 1256 do not apply to allow a loss on assignment of the option to a charity.
The Tax Court holds that the step transaction doctrine applies to the transfer of interests in an LLC for gift tax purposes.
Read the opinion here:
Pierre v. Commissioner, T.C. Memo 2010-106 (2010)
The Tax Court rejected the government’s beneficial ownership argument and found that petitioner did not have a property interest in income producing warehouses at death. Thus, the value of the those warehouses was not includable in his estate for estate tax purposes under Section 2031.