The First Circuit Court of Appeals, dealing for the second time with the IRS’s denial of a charitable contribution deduction for an historic façade easement, has affirmed a Tax Court decision to impose a 40% penalty on taxpayers who improperly claimed a $220,800 deduction. ( See Nonprofit Issues ® , Tax Matters, 5/1/14 .) The Court said there was no clear error in the Tax Court’s imposition of the penalty. Gordon and Lorna Kaufman placed an historic façade easement on their property in the South End of Boston and claimed the deduction over two years in 2003 and 2004. The Tax Court disallowed the deduction on summary judgment and reaffirmed its ruling after a trial on other issues. The First...