The Tax Court has denied a claim for a $6.5 million charitable contribution deduction for a gift of a façade easement on an historic property in New York City. Following a decision last year ( See Nonprofit Issues®, 5/16/10 ), the Court held that the easement did not assure that it would be maintained in perpetuity because a mortgagee could receive all proceeds from condemnation or casualty insurance until the mortgage was fully paid. Treasury Regulations require that the conservation group with right to enforce the easement receive its “proportionate” share of such proceeds. The Court also said it was not convinced that the easement granted “meaningful protection not already guaranteed by...