Opinion
9620-21 13346-21
09-04-2024
MURPHY HOLLOW, LLC, PIEDMONT PRIVATE EQUITY MANAGER, LLC, TAX MATTERS PARTNER, ET AL., Petitioner v. COMMISSIONER OF INTERNAL REVENUE, Respondent
ORDER
Patrick J. Urda Judge
These consolidated cases involve charitable contribution deductions claimed in connection with the conservation easements donated by Murphy Hollow, LLC (Murphy Hollow) and Hales Gap, LLC (Hales Gap). The Internal Revenue Service (IRS) issued a notice of final partnership administrative adjustment (FPAA) to each, which disallowed their deductions and determined penalties. These cases are set for trial at our Jacksonville, Florida special session starting on September 9, 2024.
On August 2, 2024, the Commissioner served on Clayton M. Weibel, who prepared the appraisals supporting the values claimed for the contributions on the respective tax returns, a subpoena to appear as a witness in these consolidated cases and to testify in-person on September 9, 2024 at 9:00 a.m. (ET). [Doc. 96 at 10, 31. Mr. Weibel filed a motion to quash or modify the subpoena [Doc. 96], asserting that he "will invoke his Fifth Amendment privilege against self-incrimination as to any question that relates to his appraisals, which . . . properly describe[s] the entire universe of questions that could conceivably be asked of him ...." [Id. at 10].
"Doc." references are to the documents in the lead case, Docket No. 9620-21, as numbered by the Clerk of this Court, using .pdf pagination.
The Commissioner has responded that the blanket assertion of the Fifth Amendment privilege is improper and, more practically, has identified potential areas of relevant questioning that might not justify the invocation of the privilege. [Doc. 139.] We will ask Mr. Weibel to reply to both points by Thursday, September 5, 2024.
Accordingly, it is
ORDERED that, on or before September 5, 2024, Mr. Weibel shall file a reply to the Commissioner's response to the motion to quash or modify subpoena filed September 3, 2024. It is further
ORDERED that, in addition to regular service, the Clerk of the Court shall serve a copy of this Order and the Commissioner's response to the motion to quash or modify subpoena on Mr. Weibel's counsel as follows:
Moore Tax Law Group LLC c/o Guinevere M. Moore and Ajay Gupta 2205 W. Armitage Ave., Suite 1 Chicago, IL 60647