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Tax Court Rules That Being Accommodation Party In Tax Shelter Is Hard Work

Tax Court Rules That Being Accommodation Party In Tax Shelter Is Hard Work

Jason Chai received a masters degree in architecture from a university in Massachusetts.  It was founded as a seminary for Congregational ministers and counts among its graduates Thomas Wentworth Higginson, one of the earlier biographers of Maragaret Fuller, the first woman granted admission to the college library, and Theodore John Kaczynski, the Unabomber.   The school, called Harvard, is about 40 miles east of Worcester.

That’s where Jason Chai met Andrew Beer.  Jason started his architecture career in Los Angeles, but moved to New York in 1999.  He stayed with his Harvard buddy for a while when he first moved to New York.  Andrew ended up marrying Jason’s cousin.  Jason has been a pretty successful architect , but that’s not what got him to Tax Court.  What got him to Tax Court was the best part time job I have ever heard of. He was hired by Andrew Beer.  Beer was in the investment business and managed to position himself and his company Bricolage into the center of the turn of the millennium tax shelter craze that Jack Townsend referred to as a massive raid on the treasury.

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Over and over again courts have said that there is nothing sinister in so arranging one’s affairs as to keep taxes as low as possible. Everybody does so, rich or poor; and all do right, for nobody owes any public duty to pay more than the law demands: taxes are enforced exactions, not voluntary contributions. To demand more in the name of morals is mere cant.