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Watch out for Shady Land Deals and Inflated Real Estate Investments! Part 1
Taxpayers must be cautious of promoters pushing bogus tax schemes to avoid taxes, like abusive land deals involving syndicated conservation easements. Scammers misuse syndicated conservation easements by misusing a charitable tax break to encourage land preservation, which is grossly different from standard conservation easements. They inflate the purchase price, sell stakes for charitable deductions, and usually reap millions in fees. Congress recently amended Section 170 to curb certain abusive conservation easement transactions, and the IRS is committed to ensuring compliance with the conservation easement deduction law as amended in the 2023 legislation. Taxpayers are advised to avoid these transactions to limit exposure to an IRS examination.
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This is a Clip from the Vlog "r/IRS Questions," which hopes to provide a steady path of information for the /r/IRS Reddit community and anyone interested in tax compliance. This channel also features the latest Internal Revenue Service news, IRS commentary, and tips from tax expert John R. Dundon.
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