The Second Circuit Court of Appeals has held for the second time that a preferred investor was not a partner for tax purposes, and it denied an allocation of taxable income to the tax-indifferent investor. The decision reversed the district court...
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In two 2011 estate tax cases, executors were denied timeliness-related claims even though they asserted that administrative failures by the IRS contributed to the errors. The courts said that the lapses by the IRS did not rise to a...
Continue reading "Recent Estate Tax Rulings Uphold IRS Regulatory Interpretations"
Tax Notes has published a "Letter to The Editor" from E. Lynn Nichols, CPA Nichols Patrick CPE, Inc., discussing Circular 230 disclosures in outgoing e-mail and conference presentations. In his letter, Mr. Nichols points out the overzealous use of the...
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According to an article in the Eagle Tribune, an Essex County Superior Court Judge has awarded the Massachusetts Division of Medical Assistance $178,496 found in abandoned safe. In November 2008, firefighters in Lawrence, Massachusetts discovered an abandoned safe in a...
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The IRS has released Publication 596, Earned Income Credit (EIC), for use in preparing 2011 returns. The publication discusses who qualifies for the tax credit, the rules regarding individuals with qualifying children, how to figure and claim the credit, and...
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Forbes has published an article by Ashlea Ebeling discussing how individuals, whose income is too high to contribute to a Roth IRA, may be able to contribute directly to a Roth IRA by opening a traditional IRA and then converting...
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The Fourth Annual Estate Planning and Community Property Seminar will be held on February 24th at Texas Tech University Law School. Speakers will include: Professor Mark Ira Bloom, Professor Jeffrey N. Pennell, William D. Pargaman, Professor Gerry W. Beyer,...
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Under our tax laws, married couples can gift up to $10.24 million together, or up to $5.12 million each, during their lifetimes, or at their death with no tax liability. Beginning 2011, if the surviving spouse files form 706 within...
Continue reading "Right of Tax Portability for Married Couples Who Suffer the Loss of a Spouse "
Representatives of the National Tax Sheltered Accounts Associations and the American Society of Pension Professionals & Actuaries have urged the IRS to include Section 403(b) plan documents in the agency's pre-approved plan program. The sponsors of these plans include...
A recent order by the Federal Circuit has helped bring some clarity to the availability of non-party taxpayer information in tax litigation. The order establishes firmer guidelines for when otherwise nondisclosable return information should be released by the federal government. The...
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The Court of Federal Claims has held that a taxpayer waived possible work product privilege for tax reserve workpapers by claiming reliance on the advice of its independent auditor in order to avoid penalties. The case is an example...
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The Organization for Economic Co-operation and Development (OECD) has released a chapter from an upcoming report, "Economic Policy Reforms 2012: Going for Growth." The chapter examines the drivers of income inequality and the effects of tax and transfer systems....
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Peter J. Reilly discusses a recent Tax Court holding concerning the termination of conservation easements. See Kayln M. Carpenter, et al. v. Commissioner, TC Memo 2012-1. He discusses how the IRS attacked the conservation easements based upon a clause in the contract instead of...
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A recent Northwestern Mutual study reported that two thirds of people 65 or older will require long-term care at some point in their lives. The study surveyed thousands of home health care organizations, assisted living facilities, and nursing homes. For home healthcare,...
Kara Friedenberg discusses the future impact of the new tax imposed by the Patient Protection and Affordable Care Act. The law imposes on individuals, estates, and trusts a new Medicare tax equal to 3.8 percent on net investment income....
Continue reading "Impact of New Medicare 3.8% Net Investment Tax"
