Atlanta, GA Conservation easement attorney
To beat the IRS, you need to understand the IRS. Cal Bomar specializes in tax cases involving syndicated conservation easements.
While most conservation easement lawyers represent promoters and the partnerships they created, our firm only represents investors who purchased interests in the deals.
Are Conservation Easements Legal?
Conservation easements are perfectly legal when set up correctly and using the actual value of the property. However, IRS asserts that most syndicated easement donation transactions are done in a way that makes them abusive. IRS points to examples of promoters who appraised land at extreme multiples over its recent purchase price. IRS also seeks to disallow deductions by asserting that the deals had deed defects that did not meet the requirements, such as not conveying the property in “perpetuity.” The IRS claims that over $14 Billion in conservation easement deductions since 2010 were false.
Why do Investors on Conservation Easement Deals Need Relief?
IRS intends to audit every syndicated conservation easement, and the deluge of these cases entering Tax Court will continue in 2022. As those conclude, the investors will continue to receive massive assessments of tax and penalties at the partner level via computational adjustments. In addition to the tax owed, there will be a 40% penalty for “substantial overstatement of value.” In some, that will be increased even further by a 75% fraud penalty.
Obtaining relief at the partner level will be vital as the cases progress– just as it is already needed in those that have already concluded.
What does Relief in these cases involve?
Relief for the investors in the tax cases who receive an adjustment will involve penalty abatement, refund action litigation and other litigation.
Are there deadlines for Investors in Syndicated Conservation Easements to obtain relief?
Deadlines and statutes of limitation will apply to relief available to investors, so it is important to consult with an attorney as soon as possible.
What is a Conservation Easement Attorney?
A conservation easement attorney includes all of the following: (1) the attorney who set up a conservation easement transaction; (2) those who defend syndicated easement promoters (or the partnerships that they set up to carry out the transaction); (3) Government attorneys who are attacking conservation easement deals for IRS and DOJ; or (4) attorneys who represent the investors in conservation easement deals. While most conservation easement attorneys represent promoters and the partnerships they created, our firm only represents investors who purchased interests in the deals.
What is a Syndicated Conservation Easement?
A syndicated conservation easement is a transaction in which a promoter brings together a group of investors, places them into a passthrough entity (such as a partnership), uses the investment funds to purchase land, and then places a conservation easement on the land that restricts the private use of the property in order to protect its conservation value. The partnership takes a charitable deduction for the reduction in value of the property that occurred when the partnership made a donation of the easement to a land trust, and then passes through that tax deduction to the investors on a Form K-1.
Who are some of the parties who may have been involved in syndicated conservation easement deals that could flag IRS audit and other investigations?
- Ornstein-Schuler Investments, LLC (OSI)
- Strategic Group / (Ricky Novak & James Freeman)
- Sixty West, LLC (a.k.a. 60 West)
- Inland Capital (Jack Fisher / Agee, Fisher, Barrett, LLC)
- Aprio, LLP f/k/a Habif, Arogeti & Wynne, LLP
- Webb Creek Management Group, LLC
- Evrgreen Management Group, Inc. (a.k.a. Evergreen) (Matt Campbell)
- EvrSource Capital (a.k.a. Eversource) (Chip Pearson)
- Ecovest Capital, Inc.
- GBX Group, LLC (formerly Global X)
- Eco Terra Management, LLC
- Effingham Managers, LLC
- Greencone Investments, LLC
- Awahili Alliance, LLC / (Jim Adams)
- Old Ivy Capital Partners / (Steve Bush & Dan Carbonaro)
- Forever Forests, LLC (Nancy Zak)
- Credo Financial Services, LLC
- Emerald Property Investors, LLC / (Kowan, Cordon & Graham)
- Piedmont Private Equity
- Sequence Financial Specialists, LLC
- Large & Gilbert, Inc.
- Bennett Thrasher, LLC
- The Private Client Law Group
- Carney Conservation Easement Consultants, LLC
- Southern Conservation Group, LLC
- Capital Conservation Consultants, LLC
How can you contact us to obtain relief?
Bomar Law Firm is located in Atlanta, GA, but the firm helps clients throughout the United States obtain relief in these cases. A conservation easement attorney at our firm will place an extremely high priority on getting you to the best result.
For a detailed analysis your how to get the best result in your IRS conservation easement case, contact Bomar Law Firm.