Be sure to read the instructions to tax forms!
The Tax Court has denied charitable contribution deductions for more than $18 million worth of real estate because the donors did not comply with the qualified appraisal requirements of Form 8283 reporting the gifts on their income tax returns. Joseph Mohamed, a real estate broker, certified appraiser and entrepreneur who made a fortune in real estate in California, admitted that he had not read the instructions to the Form before filing evaluations based on his own estimate of value. Mohamed and his wife donated five properties which he estimated to be worth nearly $16 million to a charitable remainder unitrust in 2003 and donated a shopping center he estimated was worth about $2.6 million...
The full text of this article is available to paid subscribers only. Login or subscribe to read more