Opinion
16532-21
07-17-2023
LAKE JORDAN HOLDINGS, LLC, LAKE JORDAN PARTNERS, LLC, TAX MATTERS PARTNER, Petitioner v. COMMISSIONER OF INTERNAL REVENUE, Respondent
ORDER
Patrick J. Urda Judge.
This case involves a charitable contribution deduction claimed by Lake Jordan Holdings, LLC (Lake Jordan) for a conservation easement. The Internal Revenue Service issued a notice of final partnership administrative adjustment, which disallowed Lake Jordan's deduction and determined penalties.
Lake Jordan has filed a motion in limine to exclude the testimony of Kelli Friday, the Chief Appraiser of Elmore County. [Doc. 114. Lake Jordan contends that the Commissioner is attempting to introduce expert opinion testimony on land values without following the dictates of Rule 143(g). [Id. at 3-8.] The Commissioner responds that Ms. Friday will offer fact testimony about (1) the price-per-acre value of land in Elmore County as determined by the county's Revenue Commissioner and (2) the valuation methodology the county used for tax assessments. [Doc. 121 at 3- 4, 6.]
"Doc." references are to the documents in the record compiled by the Clerk of this Court, using .pdf pagination. All Rule references are to the Tax Court Rules of Practice and Procedure.
We will deny Lake Jordan's motion in limine without prejudice to its ability to object to Ms. Friday's testimony at trial. From our current distance, it appears that the established price-per-acre value of land in Elmore County (as determined by the Revenue Commissioner) and a description of the county's valuation methodology would constitute permissible lay testimony - assuming arguendo that the Commissioner could establish the relevance of this information. If Ms. Friday's testimony strays into expert opinion as to valuation of the property at issue in this case, we would expect to sustain an objection as improper expert testimony in contravention of Rule 143(g).
It is accordingly
ORDERED that Lake Jordan's motion in limine to exclude Kelli Friday as a non-compliant expert witness, filed April 24, 2023 [Doc. 114], is denied without prejudice.