RP Golf V. Commissioner (RP Golf III)

U.S. Court of Appeals, Eighth Circuit, No. 16-3277, June 26, 2017: Upholds requirement of binding subordination at time of easement recording.

The court reviewed the facts and the tax court’s findings and holding in RP Golf v. Commissioner, 2016 T.C. Memo 80 (RP Golf II), and upheld the Tax Court. RP Golf, LLC claimed a charitable deduction [...]

RP Golf, LLC v. Commissioner (RP Golf II)

U.S. Tax Court, 2016 T.C. Memo 80, April 28, 2016: Mortgage subordination after recording of easement fails perpetuity test.

RP Golf, LLC (LLC) developed two private golf clubs. The purchase and development of the property was financed by loans secured by deeds of trust (mortgages) to Hillcrest and Great Southern banks. In December 2003, LLC (through its [...]

Minnick v. Commissioner of Internal Revenue

U.S. Tax Court, 2012 T.C. Memo 345, December 17, 2012: Conservation easement deduction denied because mortgage not timely subordinated; 20% penalty upheld.

In 2006, Minnick granted a conservation easement to a land trust on a 74-acre parcel of land near Boise, Idaho. The land was subject to a mortgage that was not subordinated to the conservation easement [...]