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entitled to a charitable contribution deduction equal to the
difference between the fair market value of the property and the
amount realized from the sale. Sec. 170(a)(1); Stark v.
Commissioner, 86 T.C. 243, 255-256 (1986); Knott v. Commissioner,
67 T.C. 681 (1977); Waller v. Commissioner, 39 T.C. 665, 677
(1963). Section 1.170A-1(c)(2), Income Tax Regs., defines fair
market value as "the price at which the property would change
hands between a willing buyer and a willing seller, neither being
under any compulsion to buy or sell and both having a reasonable
knowledge of relevant facts."
The parties have stipulated that charitable contributions to
the Commonwealth qualify for a charitable contribution deduction
pursuant to section 170(c)(1). Respondent further concedes that
petitioner intended to make a gift to the Commonwealth of any
excess value of the Property over the selling price. However, it
is respondent's position that $6 million, together with the
Special Use Permit, properly reflects the fair market value of
the Property, and therefore, petitioner is not entitled to the
charitable deductions claimed.
The fair market value of donated property as of a given date
is a question of fact to be determined from the entire record.
Symington v. Commissioner, 87 T.C. 892, 896 (1986); Zmuda v.
Commissioner, 79 T.C. 714, 726 (1982), affd. 731 F.2d 1417 (9th
Cir. 1984). Fair market value reflects the highest and best use
of the property on the date of valuation. Stanley Works v.
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