On Tuesday, December 3, a Texas federal district court granted a nationwide preliminary injunction precluding FinCEN from enforcing the Corporate Transparency Act (CTA) and its implementing regulations. The CTA, which took...more
Question: What is an Internal Revenue Code Section 1031 Like-Kind Exchange?
Answer: Section 1031 of the Internal Revenue Code allows a taxpayer who owns business or investment real estate to “exchange” the real estate the...more
Sometimes tax motives overwhelm philanthropic motives, which has often been the case with charitable deductions for so-called “conservation easements.” For years now, sponsors have offered up investments in partnerships,...more
Real estate investors may be familiar with the acronym DST, which in the context of Internal Revenue Code Section 1031 like-kind exchanges, refers to a Delaware Statutory Trust. A 1031 DST is a vehicle by which a seller of...more
Many closely held businesses have shareholder buy/sell redemption agreements. These agreements are critical to maintaining business continuity when a key shareholder exits the company. When the redemption agreement is...more
8/20/2024
/ Closely Held Businesses ,
Connelly v United States ,
Estate Planning ,
Estate Tax ,
Fair Market Value ,
IRS ,
Life Insurance ,
Redemption Agreement ,
SCOTUS ,
Shareholders ,
Valuation
Personal goodwill refers to the reputation, relationships, and other intangible assets directly attributable to an individual professional rather than the business entity itself. It is especially relevant for professional...more
8/6/2024
/ Business Assets ,
Buyers ,
C-Corporation ,
Cancellation Rights ,
Goodwill ,
IRS ,
Legal Entities ,
Letters of Intent ,
Professional Networking ,
Professional Services Companies ,
Restrictive Covenants ,
S-Corporation ,
Shareholders
January 1, 2024, was a milestone for small businesses and their owners, as well as bankruptcy trustees, receivers, and chief restructuring officers (“CRO” and collectively, “Troubled Company Fiduciaries”) of small businesses...more
1/18/2024
/ Beneficial Owner ,
CEOs ,
CFOs ,
Chief Compliance Officers ,
Corporate Officers ,
Corporate Restructuring ,
Corporate Transparency Act ,
Creditors ,
Debtors ,
Fiduciary ,
Financial Institutions ,
FinCEN ,
Foreign Corporations ,
Limited Liability Company (LLC) ,
Receivership ,
Reporting Requirements ,
Trusts
The new Corporate Transparency Act (“CTA”) takes effect January 1, 2024, creating reporting obligations for most business entities, including corporations, limited liabilities companies, and other entities formed by filing...more
On April 6, 2023, the Internal Revenue Service released its much-anticipated strategic operating plan. The plan outlines how the agency will use the additional $80 billion in funding from the Inflation Reduction Act. Of...more
Those of you who followed the drama around the oddly-named Inflation Reduction Act of 2022 will have seen the rise and fall of efforts to change tax laws regarding “carried interests.”...more
On August 7, 2022, the Senate passed the Inflation Reduction Act of 2022. The legislation passed the House on August 12, and was signed by President Biden on August 16. Among significant changes designed to fight climate...more
It is important to consider tax planning opportunities when selling your business, particularly where a business is a closely-held professional service corporation and the proposed structure of the deal is an asset sale. In...more