Writing for The L.A. Times, Lisa Zamosky offers guidance to the nearly 11 million people taking care of the 5.3 million Americans who suffer from Alzheimer's disease. Her advice includes: Get a thorough evaluation from a specialist since it is possible to get diagnosed...
Continue reading "L.A. Times Posts Guidance for Alzheimer's Caregivers "
The Center for Elder Law in Troy, Michigan, is has announced its Home Sweet Home Initiative. The Center's experienced elder law attorneys have helped thousands of Michigan families protect the savings of a lifetime from being spent on nursing homes and are now able to give...
Continue reading "Elder Law Center Launches "The Home Sweet Home Initiative" "
Kimberly Palmer of U.S. News and World Report: Money has published an article that addresses the risks associated with the creation of legal documents without professional help. Her observations come as LegalZoom, a website offering do-it-yourself legal documents, becomes increasingly popular; the site now has over...
Continue reading "Palmer: The Dangers of DIY Estate Planning"
The Insight, a newsletter that focuses on developments in elder and special needs law, has highlighted The Responsible Estate Tax Act (S. 3533) sponsored by Sen. Bernie Sanders (I-VT). In response to the first billion-dollar estate passing to heirs tax-free, Sanders has introduced legislation that would return...
Continue reading "The Insight: New Senate Estate Tax Offering Would Levy Billionaire Surtax"
On May 17, 2010, the IRS began revoking tax-exempt status from nonprofits that failed to file three consecutive annual returns (Form 990-N, 990-EZ, 990, or 990-PF). As a result, as many as 300,000 nonprofits may lose their tax-exempt status, effectively...
Following the passage of the Dodd-Frank Act, executives can expect a major transformation in the world in which financial services firms must operate. Ernst and Young has released a publication that will allow individuals to read about the immediate priorities and...
Taxpayers need to be careful to protect their personal information. Identity thieves use many methods to steal personal information and then they use the information to file a tax return and get a refund. IRS Summertime Tax Tips 2010-11 provides...
If you need assistance with a tax issue that can't be handled online or on the phone and want to meet with an IRS representative face-to-face, you might consider visiting your local IRS Taxpayer Assistance Center. IRS Summertime Tax Tip 2010-09 list eight facts...
The Taxpayer Advocate Service is an independent organization within the Internal Revenue Service. TAS helps taxpayers who are experiencing economic harm such as not being able to provide necessities like housing, transportation, or food, taxpayers who are seeking help in...
WTAS has posted a great summary of the taxation of gold holdings. The tax treatment varies considerably depending on the form your gold investments are in (e.g. gold coins, ETFs, future contracts, etc.), and this brief article gives a good...
Continue reading "Taxing Gold: The Form of Investment Matters"
WTAS offers some insight on converting retirement investments into Roth IRA's. This brief article summarizes the requirements and restrictions of converting and illustrates the tax-free growth benefits of conversion.See Roth IRA's: Life After Conversion.Posted by James G. Haskell, Associate Editor,...
With the capital gains tax increasing from 15% now to 20% in January, William Baldwin has published an article in Forbes providing six ways to avoid the tax. The tips cover: 1. Donations 2. Transfers 3. Die 4. Buying Puts...
Continue reading "Forbes: Six Ways to Avoid Capital Gains Tax"
The Tax Policy Center has released estimates comparing revenue for the extension of the Bush tax cuts for the next decade to President Obama's proposed plan to extend the cuts to all but the earners in the top two marginal...
Continue reading "Tax Policy Center Compares Obama Tax Plans to Bush Tax Cut Extension"
The Tax Policy Center has just released estimates of the distribution of estate tax by gross estate comparing outcomes under current law and under proposals that would extend the 2009 estate tax.See Tax Policy Center Estimates Estate Tax Distribution for...
Continue reading "Tax Policy Center Compares Current and Proposed Estate Tax"
The Treasury Inspector General for Tax Administration issued its annual report detailing various reasons why tax collections fell 15% in 2009.See TIGTA Studies Fiscal 2009 Trends in Compliance Activities, 2010 TNT 146-28 (June 10, 2010).Posted by James G. Haskell, Associate...
Continue reading "Treasury Inspector General Issues Report on Tax Revenue Drop"
Stuart M. Lewis, Chairman of the Taxation Section of the American Bar Association, recommended a list of areas for the Treasury to issue guidance. The list was compiled from various members of the Taxation Section in hopes that Treasury will...
The Internal Revenue Service issues a list of the top 12 tax scams each year - known as the Dirty Dozen. The scams are illegal and can lead to problems for taxpayers including significant penalties, interest and possible criminal prosecution....
Continue reading " IRS Summertime Tax Tip 2010-08: Five Tax Scams to Avoid this Summer "
The Jewish Federation of Greater Washington has posted an article about the IRS's release of proposed regulations that would establish a fee for individuals who apply for a preparer tax identification number (PTIN). The IRS is working to finalize the proposed...
The Jewish Federation of Greater Washington has highlighted a new offering from the IRS: the agency is providing temporary relief to allow small tax-exempt organizations to come back into compliance and retain their tax-exempt status even though they failed to file for three consecutive...
OMB Watch has published an opinion piece that argues that short- and long-term economic considerations require a strong estate tax that serves as a source of critical revenue and reverses the concentration of wealth among the upper classes. As Congressional proposals for an estate tax fix...
Continue reading "Commentary: The Case for a Strong Estate Tax"
WSJ's Robert Frank blogged on The Wealth Report recently how Young, Affluent Investors Feel Burned reporting on a recent poll of 1,000 investors with $250,000 or more in invested assets. The survey found that 18-34 year-olds were about as risk...
The Joint Economic Committee of the U.S. Congress has published its Weekly Economic Digest dated July 25, 2010. The current digest discusses the following:New homebuilding still showing signs of stressExisting home sales fell in JuneFed Chairman Bernanke presents Monetary Report...
Elder Law Answers recently posted an article titled "New Approach Reduces Unwanted Medical Treatments at End of Life." The article argues that advance directives are not consistently followed and often have little impact on end-of-life decisions and recommends the use...
Continue reading "ELA: New Approach Reduces Unwanted Medial Treatments at End of Life"
Americans for a Fair Estate Tax sent a letter on July 26 supporting the Responsible Estate Tax Act (S. 3533) introduced by Senators Bernard Sanders (I-VT) Tom Harkin (D-IA), Sheldon Whitehouse (D-RI), Sherrod Brown (D-OH) and Al Franken (D-MN) . ...
Continue reading "Coalition Endorses Responsible Estate Tax Act"
Raymond H. Young of Young & Bayle sent a recent letter to Catherine Hughes at the U.S. Treasury in support of a two-generation limit on the Generation Skipping Transfer Tax (GSTT) exemption and shared his belief that many other practitioners...
Continue reading "Two-Generation Limit on Generation Skipping Transfer Tax Exemption Endorsed"
A recent case before the Tax Court denied deductions taken by a couple regarding an off-shore trust and mortgage related deductions.See Joseph H. Gale, Tax Court Denies Depreciation Deductions and Other Unsubstantiated Deductions, 2010 TNT 144-15 (July 27, 2010).Posted by...
Continue reading "Recent Tax Court Case Denies Unsubstantiated Deductions"
Despite inaction from Congress with regard to the current sunset and looming sunrise of the estate tax, Catherine Hughes from Treasury's Office of Tax Legislative Counsel says that Treasury is working on issues that arise from the temporary absence of...
Continue reading "Treasury Working on Estate Tax Issues Without Action From Congress"
The Trust Advisor Blog has published a report titled "Who's Charging What for Trust Services." In the report, Trust Advisor examines the results of its quarterly trust industry survey and compares the fee structure and services offered by independent trust...
Continue reading "Trust Advisor: Who's Charging What for Trust Services?"
Whether it's moving to a new base or traveling to a duty station, members of the military have many obligations that could impact their tax situation. IRS Summertime Tax Tip 2010-07 lists 10 helpful pointers for military taxpayers to help...
Continue reading "IRS Summertime Tax Tip 2010-07: 10 Military Tax Tips "
Joel Wendland of The People's World has reported that Former Treasury Secretary Robert Rubin joined Richard Trumka, who is the president of the AFL-CIO in calling on the Congress to reinstate the estate tax or to restore it retroactively. Currently,...
Jay Heflin of The Hill is reporting that The Tax Policy Center has released research showing that nearly three-quarters of Americans will pay more in taxes next year if Congress fails to extend the cuts enacted by President George W....
Continue reading "Three in Four Can Expect Higher Taxes if Congressional Inaction Persists"
The Tax Policy Center, a joint venture of the Urban Institute and Brookings Institution, has published a report titled "Analysis of the Expiration of the 2001-2003 Tax Cuts." The report discusses the expiration of the 2001-2003 tax cuts and compares...
Continue reading "Tax Policy Center Examines Expiration of Tax Cuts"
Tax Notes has published a letter sent to the IRS by Beth Shapiro Kaufman, Douglas Siegler, Howard Zaritsky, and Richard Franklin of Caplin & Drysdale commenting on PLR 201025021. In the letter, the authors applaud the IRS's decision to grant...
Continue reading "Caplin & Drysdale Applauds IRS for Granting Extensions to Make QTIP Election"
Tax Notes has published an article by Carlyn S. McCaffrey and Pam H. Schneider titled "Time Traveling and Generation-Skipping in 2010 and Beyond." The article discusses the generation-skipping transfer (GST) tax and looks at the complications caused by the lapse...
The Wealth Strategies Journal has published a new article entitled "Another 'Bad Facts' Victory For The IRS In Estate of Erickson" by Espen Robak.You may access the article by clicking here....
Continue reading "Another "Bad Facts" Victory For The IRS In Estate of Erickson"
In Pierre v. Commissioner, T.C. Memo 2010-106 (May 13, 2010), the Tax Court held that the step transaction doctrine applied to collapse the taxpayer's gifts and sales of LLC membership interests to trusts. This case addresses different issues related to...
Merrill Mathews over at Forbes has a great op/ed on the justifications used by the Obama administration to fight challenges from a 20+ State contingent claiming the Act is unconstitutional. The argument goes something like this: Obamacare is a tax,...
Continue reading "The Biggest Tax Increase in U.S. History?"
Producers Web has published an article by Christopher P. Hill titled "How Avoiding Estate Taxes Can Actually Create More Taxes." In the article, Hill discusses how irrevocable life insurance trusts can be used to avoid estate and generation skipping transfer...
Continue reading "Hill: How Avoiding Estate Taxes Can Actually Create More Taxes"
Elder Law Answers recently posted an article on client maintenance programs. The article discusses a training course offered by Family Estate Planning Law Group that helps estate planning law firms create and implement client development programs.Posted by Wesley J. Bailey,...
Continue reading "ELA: Estate Attorney Starts School for Establishing Client Maintenance Programs"
The American Institute of Certified Public Accountants will be hosting the following CLE:AICPA Advanced Estate Planning ConferenceJuly 26-28, 2010JW Marriott, Washington, DCPosted by Wesley J. Bailey, Associate Editor, Wealth Strategies Journal....
Continue reading "AICPA July 26-28 CLE: Advanced Estate Planning Conference"
Forbes recently posted an article titled "Lapsed Federal Estate Tax Creates Couples Trap." The article warns that A-B trust provisions, a common estate planning technique, may now have the unintended consequence of leaving a surviving spouse with an unfunded trust...
Continue reading "Forbes: Lapsed Federal Estate Tax Creates Couples Trap"
Karen Lau Givian of the Investment Company Institute has offered comments on proposed regulations regarding the reporting of stock basis (REG-101896-09). Her letter specifically cites concerns regarding average cost, gifted and inherited shares, flexibility for transfer statements and the February...
IRS Summertime Tax Tip 2010-06 lists five helpful points about the Making Work Pay Tax Credit: 1. This credit - still available for 2010 - equals 6.2 percent of a taxpayer's earned income. The maximum credit for a married couple...
Continue reading "IRS Summertime Tax Tip 2010-06: Five Facts about the Making Work Pay Tax Credit"
The IRS recently ruled that for the passive activity loss rules to apply in the context of a trust, "material participation" is only met if the trustee is involved in the activity on a regular, continuous and substantial basis.See Trustee's...
Continue reading "IRS Rules on Passive Activity Loss Requirement for Trusts"
The IRS has rule on appointment powers and their impact on the Generation-Skipping Transfer Tax (GSTT). The IRS did not include property in a decedent's estate that she inherited from her father because the decedent exercised a power of appointment...
The IRS has recently ruled that a Charitable Remainder Trust under IRC 664 may be divided into two Charitable Remainder Trusts without either trust being disqualified as such.See IRS Rules on Division of Trust, 2010 TNT 142-48 (April 14, 2010).Posted...
Continue reading "IRS Allows Charitable Remainder Trust to be Split"
The IRS has issued guidance on who is appropriately penalized under IRC 6702 for frivolous business returns.See IRS Addresses Questions on Frivolous Business Return Penalty Procedures, 2010 TNT 142-21 (June 22, 2010).Posted by James G. Haskell, Associate Editor, Wealth Strategies...
Continue reading "IRS Issues Guidance for Frivolous Business Return Penalties"
The Wealth Strategies Journal has posted a new article entitled "A Billionaire's Free Pass" by Bob Moshman.You may find the article by clicking here....
Continue reading "Estate Analyst: A Billionaire's Free Pass"
The New York Times recently published an interesting article titled "Nightmare In Apt. 9B" which details a nasty estate battle. The article tells the story of a family fighting over an apartment at 300 Central Park West and includes allegations of coercion, an assault...
U.S. News & World Report reports that Republicans are planning to make Obama's tax increases scheduled to take effect on January 1, 2011, into an election issue.Senator Jim DeMint (R-SC) plans to take a leadership role in the fight over...
Continue reading "GOP Plan to Make Estate Tax an Election Issue"
Uncertainty regarding the future of the estate tax persists in the Senate. An amendment offered by Senators Blanche Lincoln (D-AR) and Jon Kyl (R-AZ) that would have phased in a top estate tax rate of 35% with a $5 million...
Continue reading "Estate Tax Uncertainties Persist in Senate"
Deloitte will host several webinars. Topics include:July 29, 2010 at 2:00 p.m. EDT Risk Intelligence: How to capitalize on social networking sites while minimizing risks to your company;August 3, 2010 at 2:00 p.m. EDT Financial Reporting: Discussion of FASB's latest...
According to Tax Notes, the estate tax proposal offered by Sen. Jon Kyl and Sen. Blanche Lincoln has lost momentum in the Senate. Kyl and Lincoln hoped to have the Small Business Jobs Act of 2010 (H.R. 5297) sent back...
Continue reading "Kyl & Lincoln Estate Tax Proposal Faces Opposition in Senate"
The Department of the Treasury requests public comment on Valuation Tables provided in final regulations (T.D. 8540) under section 7520. See, 75 F.R. 42832-42833 (July 22, 2010). Posted by Wesley J. Bailey, Associate Editor, Wealth Strategies Journal. ...
Continue reading "75 F.R. 42832: Treasury Requests Comments On Valuation Tables For Annuity"
The Department of the Treasury has submitted several Forms and Regulation to the Office of Management and Budget for review and requests comments by August 23, 2010. See, 75 F.R. 42821-42823 (July 16, 2010). Posted by Wesley J....
Continue reading "75 F.R. 42821: Treasury Submits Forms and Regs For OMB Review"
B'nai B'rith International and the Wealth Strategies Journal cordially invite you to a Kosher luncheon with Jonathan Blattmachr on Wednesday, July 28, 2010. Lunch and registration will begin at 12:00 PM and will be followed by a presentation that will...
Today, the Internal Revenue Service released proposed regulations that would establish a fee of $50 for individuals who apply for a preparer tax identification number (PTIN). Proposed regulations that were issued in March would require certain tax return preparers to...
Robert Frank who writes The Wealth Report for The Wall Street Journal has published a post about Pablo Eisenberg, senior fellow at the Georgetown Public Policy Institute, whose recent essay argues that rather than helping the poor, the Buffet-Gates Pledge...
Continue reading "Pablo Eisenberg: Will Buffett-Gates Pledge Really Help the Poor?"
Forbes recently published an interesting article titled "Billionaires Battle on Estate Tax." According to the article, former Treasury Secretary Robert Rubin was joined by hedge fund billionaire Julian Robertson and Disney heir Abigail Disney in a teleconference to urge Congress...
Continue reading "Forbes: Billionaires Battle on Estate Tax"
In opposing pieces, the Heritage Foundation and United for a Fair Economy offered opposing views on the estate tax repeal. The Heritage Foundation argues that the estate tax slows growth and penalizes entrepreneurship. United for a Fair Economy argues that...
Ellen McCarthy of the Securities Industry and Financial Markets Association offered comments to the Treasury regarding proposed regulations (REG-101896-09) for reporting sales of securities and determining basis.See SIFMA Responds to Concerns Voiced at Hearing on Proposed Basis Reporting Regs, 2010...
The United States District Court for the Northern District of California denied Sussex Financial Enterprises, Inc. motion for partial summary judgment against Bayerische Hypo-und Vereinsbank AG ("HVB") and granted HVB's motion for summary judgment. The court dismissed the fraud and...
Continue reading "Bank Granted Summary Judgment Against Investment Company in Tax Shelter Case"
The United States District Court for the Northern District of California denied Sussex Financial Enterprises, Inc. motion for partial summary judgment against Bayerische Hypo-und Vereinsbank AG ("HVB") and granted HVB's motion for summary judgment. The court dismissed the fraud and...
Continue reading "Bank Granted Summary Judgment Against Investment Company in Tax Shelter Case"
Wendy C. Gerzog, Professof of Law at the University of Baltimore School of Law, recently wrote on the IRS's victory in Estate of Morgens v. Commissioner in which the Tax Court applied Section 2085(b) to gift taxes paid by qualified...
The Senate rejected Sen. Jim Demint's (R-S.C.) proposal to abolish the estate tax offered as an amendment to a bill extending unemployment benefits which passed the Senate. Senators Blanche Lincoln (D-AR) and Ben Nelson (D-NE) supported the measure while Senators...
An article from the UK Telegraph casts doubt on living wills. A man indicated he did not want heroic efforts just weeks before a devastating crash left him unable to speak and paralyzed from the neck down. However, when asked...
Continue reading "Life-Support Patient Casts Doubts on Living Wills"
As we have previously blogged, several wealthy individuals have died this year and their estates will pass to their heirs free from the federal estate tax due to congressional inaction.The Los Angeles Times has published "Heirs of the Wealthy Escape...
Continue reading "LAT: Heirs of the Wealthy Escape Estate Tax"
President Obama will sign into law this week a legislation that will launch a historic reform of the nation's financial regulation; the law will also create the Consumer Financial Protection Bureau (CFPB) and transfers to it responsibility for virtually all...
Continue reading "Venable CFPB Watch: Introducing the New Sheriff in Town "
The Royal Bank of Canada, through Anne Norges, offered comments to the IRS regarding the Foreign Account Tax Compliance Act provisions and how regulations could be developed to ease burden on foreign financial institutions while satisfying compliance needs.See Ann Norges,...
Continue reading "Royal Bank of Canada Offers Input on FATCA"
Keith Lawson of the Investment Company institute wrote a letter to the Treasury regarding proposed regulations for cost basis reporting (REG-101896-09) with ways to ensure proper and simple reporting of holding periods on gifted shares.See ICI Comments on Reporting Holding...
The U.S. Bankruptcy Court denied equitable estoppel and subrogation claims by Employee Benefits Plans against the IRS. The Plans sought to subrogate the claims of the IRS to unpaid taxes to make distributions from the plan.See Timothy J. Mahoney, Benefit...
Continue reading "Employee Benefit Plans Denied Subrogation Against IRS in Bankruptcy Court"
It appears that the Small-Business Act will pass the Senate without the Estate Tax amendment offered by Senator's Lincoln and Kyl. The amendment offered would have capped the estate tax rate at 35% with a $5 million inflation-adjusted exemption. The...
Continue reading "No Estate Tax Vote in Small-Business Bill Despite Letters From Tax Coalition"
With jobless benefits looking very likely to be extended to millions of out of work Americans, the political tussle over who cares the most for middle America has reached a fever pitch. While seemingly contradictory on the surface, the battle...
Revenue Ruling 2010-19 provides various prescribed rates for federal income tax purposes for August 2010 (the current month) including the applicable federal interest rates, the adjusted applicable federal interest rates, the adjusted federal long-term rate, the adjusted federal long-term tax-exempt...
The IRS has many resources available for individuals that are opening a new business. IRS Summertime Tax Tip 2010-05 lists six tax tips that can help new business owners: First, you must decide what type of business entity you are...
Continue reading "IRS Summertime Tax Tip 2010-05: Six Tax Tips for New Business Owners"
If you are searching for a job this summer, you may be able to deduct some of your expenses on your tax return. IRS Summertime Tax Tip 2010-05 delivers six facts about deducting costs related to your job search....
Continue reading " IRS Summertime Tax Tip 2010-04: Six Tax Benefits for Job Seekers"
Jason Winder of the MakeLeaps Blog has posted concise guidance for new business owners looking to hire their first employees. Winder emphasized the emotional and instinctual elements of the hiring process, noting that people "have a library of subconscious indicators...
The Congressional Research Service has prepared a report for members of Congress that reviews the numerous bills introduced in the first session of the 111th Congress that affects the estate tax.Below is the text of "Estate Tax Legislation in the...
Continue reading "CRS: Estate Tax Legislation in 111th Congress"
The Wealth Strategies has published a new article titled "The Power of Attorney in 2010" by Russell Haddleton. Please continue reading this article at this link....
In Matthies v. Comm'r, 134 T.C. No. 6 (Feb. 22, 2010)., the Tax Court ruled against taxpayers who had used IRA funds to buy life insurance through a "Pension Asset Transfer" plan marketed by a life insurance underwriter. The...
Continue reading ""Pension Asset Transfer" Life Insurance Strategy Nixed By Tax Court"
The Joint Economic Committee of the U.S. Congress has published its Weekly Economic Digest dated July 19, 2010. The current digest discusses the following:Declining energy prices keep inflation subduedJEC 2010 Annual Report highlights need for targeted spendingManufacturing output slows; capacity...
The ABA Journal has published an article discussing George Steinbrenner's death and the windfall that his heirs will likely receive. Steinbrenner, the long-time owner of the New York Yankees, suffered a heart attack last week and died with an estimated...
The IRS issued guidance for non-resident sellers of U.S. Property in a recent email. The IRS concluded that if a non-resident seller of U.S. property can provide substantial evidence that the buyer withheld 10% of the purchase price as required...
Continue reading "IRS Issues Guidance for Non-resident Sellers of U.S. Property"
A Federal Grand Jury for the Eastern District of Virginia indicted Felix M. Mathis, a partner for a Swiss law firm barred in New York, for alleged actions involving the use of sham trusts and concealed money transfers to evade...
The IRS's special voluntary disclosure program for taxpayers with unreported offshore accounts was such a success that the IRS is having difficulty handling the cases in a timely manner. According to Tax Analysts, almost 15,000 taxpayers took advantage of the...
Continue reading "Taxpayers Still Waiting on Closure of Cases In Voluntary Disclosure Program"
Nancy J. Altman, co-director of Social Security Works, testified before the House Ways and Means Committee on the importance of Social Security. In her testimony, Altman proposes for the estate tax to be reinstated at its 2009 level and to...
Continue reading "Altman Congressional Testimony: Estate Tax Can Be Used to Fund Social Security"
U.S. Representative Linda Sanchez has introduced legislation to restore the estate tax. In a press release, Rep. Sanchez introduces the Responsible Estate Tax Act and explains that the bill will ensure that millionaires and billionaires are paying their fair share...
Continue reading "Representative Sanchez Introduces Legislation to Restore the Estate Tax"
The Dodd-Frank Wall Street Reform and Consumer Protection Act has been passed by both the House and the Senate. McGuireWoods LLP and McGuireWoods Consulting LLC will host an informative session on the securities law implications of this historic financial services...
William Thomas Worster, professor at The Hague University, has posted an interesting article on SSRN titled "The Constitutionality of the Taxation Consequences for Renouncing U.S. Citizenship." In the article, Worster argues that the special tax regime imposed on individuals who...
The Journal of Accountancy has published an article titled "Valuing Art for Tax Purposes" by Alan Breus. In the article, Breus discusses tax-related art appraisals and highlights common situations that necessitate a professional art appraisal.Posted by Wesley J. Bailey, Associate...
Senators Lincoln and Kyl moved to commit H.R. 5297 to the Small Business Bill changing estate tax exemptions and rates. The amendment would cap the tax at 35% with a $5 million inflation-indexed exemption that will be phased in over...
Continue reading "Estate Taxes May Change Under Small-Business Bill"
The financial regulatory reform act passed the House of Representatives on June 30, 2010, and is expected to be voted on by the Senate shortly. The act contains a number of new requirements that will significantly modify corporate governance and...
Continue reading "The Financial Reform Legislation's Impact on Executive Compensation"
It appears that the Small Business Jobs Act of 2010 (H.R. 5297) has been put on the back burner while the Senate focuses on the financial reform bill. According to Tax Analysts, the Senate will hopefully finalize the financial reform...
Continue reading "Small Business Bill Delayed While Senate Focuses on Financial Reform Bill"
Senate Minority Whip Jon Kyl (R-Ariz.) will once again team up with Sen. Blanche Lincoln (D-Ark.) to enact an estate tax solution in Congress. You may remember Sen. Lincoln of financial regulatory reform fame. She was the Senator who pushed...
Continue reading "Kyl Seeks to Add an Estate Tax Fix to Small Business Bill"
The IRS Office of Professional Responsibility has announcement for the May 28th decision of the Appellate Authority which upheld the Administrative Law Judge's ("ALJ") disbarment of CPA Tim W. Kaskey found, among other things, that Kaskey failed to exercise due...
Continue reading "CPA Disbarred for Failure to Exercise Due Diligence and Compliance Problems "
The Internal Revenue Service announced the opening of a special telephone line for taxpayers affected by the Gulf oil spill. Individuals who have questions about the BP payments or who are experiencing filing or payment hardships because of the oil...
Continue reading "IRS Opens Dedicated Phone Line for Gulf Oil Spill Victims "
Planning what to do in case of a disaster is an important part of being prepared. The Internal Revenue Service encourages taxpayers to safeguard their records. Some simple steps can help taxpayers protect financial and tax records in case of...
Continue reading "IRS Summer Time Tax Tip 2010-03: Four Tips on Preparing for a Disaster"
Ray D. Madoff, professor at Boston College Law School, has written an op-ed piece for the New York Times titled "America Builds an Aristocracy." In the article, Madoff makes the case against dynasty trusts and proposes that Congress could fix...
George Steinbrenner, who bought the New York Yankees in 1973, and lead the team to 7 World Series Championships, 11 pennants, and a world renowned sport empire valued around $1.6 billion, died Tuesday morning from a heart attack. He was 80 and...
Continue reading "George Steinbrenner Dies - Leaves Behind Tax-Free Estate"
School's out and many students now have a summer job. Some students may not realize they have to pay taxes on their summer income. IRS Summertime Tax Tip 2010-02 lists six points about income earned while working a summer job: ...
Continue reading "IRS Summertime Tax Tip 2010-02: Six Tips for Students With a Summer Job"
Your summer day care expenses may qualify for an income tax credit: many parents who work or are looking for work must arrange for care of their children under 13 years of age during the school vacation; those expenses may...
Lauren Saunders and Mary Pilon of The Wall Street Journal have published an article discussing the "death incentive" created by this year's lapse in the estate tax. The authors reflect that few Washington insiders never really expected that Congress would...
Continue reading "To Be or Not to Be (Taxed): Estate Tax Lapse Incentivizes Morbid Considerations"
In PLR 201027034, the IRS ruled that a decedent will be deemed to have made a timely allocation of he unused generation-skipping transfer tax exemption with respect to her transfers to trusts for the benefit of her two grandchildren and...
Continue reading "PLR 201027034: IRS Rules on Tax Consequences of Allocation of GST Tax Exemption"
In PLR 201027016 and PLR 201027027, the IRS granted an estate an extension to file a qualified physician's certification under reg section 26.2601-1(b)(3) because the decedent was under a mental disability for a period of time prior preceding her death.Posted...
In PLR 201027031, the IRS ruled that the assignment of two IRAs to a foundation in satisfaction of its share of the residue of an estate and a trust is not considered a transfer with the meaning of section 691(a)(1)...
Continue reading "PLR 201027031: IRS Rules on Tax Consequences of Assignment of IRAs to Foundation"
Tax Notes has published a letter written by James Q. Riordan in response to Robert Michaelson's article on the estate tax. In the letter, Riordan disagrees with the premise of Michaelson's article and believes that the estate tax is the...
Continue reading "Riordan Sends Letter to Tax Notes: Estate Tax Represents Poor Tax Policy"
Debra Cassens Weiss of the ABA Journal has published an article which reports that 83 percent of 30 responding law firms declined to participate in a survey by Fronterion that would have assessed how many top law firms are outsourcing...
Continue reading "Big Law: Mum's the Word for Outsourcing Questions"
In an audio program, ABA moderator Stephanie Francis Ward speaks with a distinguished panel of experts on the latest rainmaking techniques for attorneys.The experts featured are:Stephen Fairley, CEO of the Rainmaker InstituteKaren Kaplowitz, President of the New Ellis GroupKevin O'Keefe,...
Investor's Business Daily has an article discussing the coming rollback of the Bush tax cuts. The proposals will take effect mostly in 2011. Some of the key specifics include: Raises capital gains taxes to 20% and treats dividends as ordinary...
Financial Advisor has published an article titled "Donations Can Help Offset Roth IRA Bill." The article discusses how to offset the increase in taxable income that results when rolling pre-tax retirement accounts into a Roth IRA and suggests using donor-advised...
Continue reading "Financial Advisor: Donations Can Help Offset Roth IRA Bill"
Unless you have been living in a cave for the past few days, you know that tonight at 9:30 p.m, free-agent extraordinaire, Lebron James, will be making a decision on which lucky city will be the beneficiary of his services...
Continue reading "LeBronomics: Could High Taxes Influence James' Team Decision?"
Foley & Lardner has published a Legal News Alert titled "IRS to Require Uncertain Tax Position Disclosures in 2010." Since announcing proposals that would require certain business taxpayers to disclose uncertain tax position (UTP), the IRS has received strong opposition...
Continue reading "Foley & Lardner: IRS to Require Uncertain Tax Position Disclosures in 2010"
McGuire Woods has included Ladysmith Rescue Squad v. Newlin in its latest update on "Recent Fiduciary Cases of Interest to Corporate Fiduciaries." In Ladysmith Rescue Squad v. Newlin, the Virginia Supreme Court found that the standard for division and commutation...
Continue reading "Fiduciary Update: Ladysmith Rescue Squad V. Newlin"
McGuire Woods has included Smith v. Mountjoy in its latest update on "Recent Fiduciary Cases of Interest to Corporate Fiduciaries." In Smith v. Mountjoy, the Virginia Supreme Court held that a wife exceeded her authority under her husband's power of...
The Estate Tax may return before 2011. Former Treasury Secretary Robert Rubin Robert Rubin has joined several others (including Abigail Disney, the grandniece of Walt Disney, and Julian Robertson, founder of Tiger Management hedge funds) in calling on Congress to...
Continue reading "Support for Reinstating the Estate Tax Draws Bipartisan Support from Big Names"
McGuire Woods has included Schilling v. Schilling in its latest update on "Recent Fiduciary Cases of Interest to Corporate Fiduciaries." In Schilling v. Schilling, the Virginia Supreme Court reversed the trial court and held that Virginia's statute that allows curing...
McGuire Woods has included Dolby v. Dolby in its latest update on "Recent Fiduciary Cases of Interest to Corporate Fiduciaries." In Dolby v. Dolby, the Virginia Supreme Court reversed the trial court and held that the debt owed solely by...
The Wealth Strategies Journal has published a new article entitled "Gun Trusts in Estate Planning" by Wendy S. Goffe. Please continue reading this article by clicking here....
In a private letter ruling released by the Internal Revenue Service last year, a corporate taxpayer asked the agency for an opinion related to state tax credits and real estate investment trusts. The IRS guidance (LTR 200916014) is particularly germane...
The IRS explains that section 6104(b) does not protect a trust's name in response to a suggestion that the filers of Form 5227 (Split-Interest Information Return) should be allowed to omit the name of the split-interest trust or the IRS...
Continue reading "IRS Responds to Request Seeking Protection for Names of Split-Interest Trusts"
The IRS is seeking public comment on final regulations on the section 2632(c)(5)(A)(i) election to opt out of having the deemed allocation of unused generation-skipping transfer tax exemption apply to certain transfers to a generation-skipping transfer trust.See, 75 F.R. 38870-38871.Posted...
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The IRS is seeking public comment on nonresident alien estate tax return Form 706-NA.See, 75 F.R. 38874-38875.Posted by Wesley J. Bailey, Associate Editor, Wealth Strategies Journal....
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An amendment to an emergency supplemental appropriations bill contains provisions that address terms for grantor-retained annuity trusts and biofuel. The following is the text of the amendment to the emergency supplemental appropriations bill:"AMENDMENT 1 TO THE SENATE AMENDMENT TO H.R....
The IRS Small Business/Self Employed Division ("SB/SE") has issued guidance to SB/SE's employees on statutory notices of deficiency in cases when an estate or gift tax examination has more than 210 days remaining on the statute of limitations. Posted by Neil I....
In PLR 201026021, the IRS granted an extension to an individual so that the individual could allocate an available generation-skipping transfer tax exemption to transfers to a trust.Posted by Neil I. Rumbak, Associate Editor, Wealth Strategies Journal....
In PLR 201026018, the IRS ruled on the generation-skipping transfer tax consequences of a division and modification of a trust.Posted by Neil I. Rumbak, Associate Editor, Wealth Strategies Journal....
In PLR 201026018, the IRS ruled on the generation-skipping transfer tax consequences of a division and modification of a trust.Posted by Neil I. Rumbak, Associate Editor, Wealth Strategies Journal....
In PLR 201026019, the IRS granted a husband and wife an extension to allocate their available generation-skipping transfer tax exemptions to transfers to trusts. Posted by Neil I. Rumbak, Associate Editor, Wealth Strategies Journal....
Continue reading "PLR 201026019: IRS Grants Husband and Wife Extension to Allocate GSTT Exemptions"
In PLR 201026014, PLR 201026024, PLR 201026025, PLR 201026026, and PLR 201026027, the IRS ruled that a proposed judicial construction of a trust will not affect the generation-skipping transfer tax-exempt status of the trust. Posted by Neil I. Rumbak, Associate Editor, Wealth Strategies Journal....
In PLR 201026005, the IRS ruled that a reformation of a charitable remainder unitrust does not constitute self dealing under Section 4941. Posted by Neil I. Rumbak, Associate Editor, Wealth Strategies Journal....
Continue reading "PLR 201026005: IRS Rules Reformation of CRUT Not Self Dealing"
John Prebble, professor at Victoria University of Wellington, has published an article on SSRN titled "The New Zealand Offshore Trust Regime." In the article, Prebble explains why New Zealand, despite being considered a high tax country, has a robust offshore...
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Barbara Taylor of the New York Times blog "You're the Boss" has made an observation that small business owners who evade taxes may not be doing themselves any favors. Because the the value of a business is based on a...
The Joint Economic Committee of the U.S. Congress has published its Weekly Economic Digest dated July 2, 2010. The current digest discusses the following:Private payrolls expand, but gains are offset by expected census layoffsUnemployment edges down in JuneEmployment opportunities remain...
Laura Saunders of the Wall Street Journal has outlined what taxpayers can expect from the 111th Congress for a list of unaddressed tax issues. With the current legislative session approaching its close (currently scheduled for August) and the midterm elections fast on their way, she predicts that questions...
As we have previously reported, the Small Business Jobs Tax Relief Act of 2010, passed by the House on June 15, 2010, included provisions that would make grantor retained annuity trusts (GRATs) less attractive to wealthy individuals. As the Senate considered the bill...
Smart Money has published an article titled "Negotiating Estate Tax Gridlock." The article discusses pitfalls of the estate tax lapse and looks at how provisions commonly included in estate plans may now have unintended results due to the estate tax...
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Daphna Hacker, professor of law at Tel-Aviv University, has posted an article on SSRN titled "The Gendered Dimensions of Inheritance: Empirical Food for Legal Thought." In the article, Hacker discusses gender and inheritance and examines data on women legators and...
Continue reading "Hacker: The Gendered Dimensions of Inheritance: Empirical Food for Legal Thought"
U.S. Senator Orrin Hatch recently sent a letter to Paul A. Volcker, Chairman of the President's Economic Recovery Advisory Board, urging him not to consider a value-added tax (VAT) when formulating the final report on tax reform. The President's Economic...
Continue reading "Hatch Sends Letter Urging Panel Not to Consider VAT"
