University of Michigan gift in tax court - WNEM TV 5

University of Michigan gift in tax court

Posted: Updated:
University of Michigan logo University of Michigan logo
ANN ARBOR, MI (AP) -

IRS attorneys are flagging a high-profile real estate developer and his business partners for engaging in a tax avoidance scheme after they donated a collective gift to the University of Michigan.

The Detroit Free Press reports that a federal tax judge disallowed a $33 million tax deduction last month that Stephen M. Ross and partners received after giving a large donation to Ross' alma mater. The judge also imposed maximum civil penalties for a "gross valuation mistreatment" that could cost Ross and his partners millions more.

Ross' gifts make him the second largest donor to any college or university in the U.S.

A spokesman for Ross says he's likely to appeal the ruling.

Copyright 2017 Associated Press. All rights reserved.

Powered by Frankly
WNEM
Powered by WorldNow CNN
All content © 2018, WNEM; Saginaw, MI. (A Meredith Corporation Station) . All Rights Reserved.
For more information on this site, please read our Privacy Policy, and Terms of Service, and Ad Choices.