The sole shareholder of an S corporation has been allowed to claim a charitable contribution deduction for the corporation’s gift of an apartment house to charity even though the entity did not follow tax rules, but the Tax Court has held that the taxpayer is not entitled to a deduction when he failed to file a “qualified appraisal” with his return. Dr. Ben Alli owned two low-income apartments in Detroit that he operated under a Housing Assistance Payment contract with the Department of Housing and Urban Development. After failing HUD inspections for eight consecutive years, HUD initiated foreclosure and began relocating tenants. Alli paid off the HUD mortgage in 2000 to get out from under...