Tax

By Lai K. Lam on October 17, 2018

The Financial Stability Oversight Council (FSOC) voted unanimously to remove Prudential from its list of non-bank systemically important financial institutions (SIFIs). Prudential was the only institution left on the council’s SIFI list. The FSOC has issued an explanation of its decision to rescind the SIFI label, which can be viewed here. The council is expected to revamp its SIFI designation process going forward and may issue an outline of the new process before the end…

The CPA Desk

How Your Not-for-Profit’s Internal and Year-End Financial Statements Can Differ

By Sonia Freeman on October 17, 2018

Do you prepare internal financial statements for your board of directors on a monthly, quarterly or other periodic basis? Later, at year end, do your auditors always propose adjustments? What’s going on? Most likely, the differences are due to cash basis vs. accrual basis financial statements, as well as reasonable estimates proposed by your auditors during the year-end audit. Simplicity of Cash Under cash basis accounting, you recognize income when you receive payments and you…

Tax Law for the Closely Held Business

Corporate Distribution: Return of Capital or Capital Gain?

By Lou Vlahos on October 17, 2018

Ode to a Dividend It sounds relatively simple: A distribution of property made by a regular “C” corporation to an individual shareholder with respect to the corporation’s stock[i] (a) will be treated as a dividend[ii] to the extent it does not exceed the corporation’s earnings and profits; (b) any remaining portion of the distribution will be applied against, and will reduce, the shareholder’s adjusted basis for the stock, to the extent thereof –…

ERISA Claim Defense Blog

Second Circuit Speaks On When Ministerial Acts Can Breach a Fiduciary Duty

By Soo Y. Kim on October 17, 2018

The Second Circuit recently held that alleged misrepresentations by a “ministerial” plan representative about plan benefits will not support a claim for breach of fiduciary duty if the SPD clearly provides “complete and accurate” information, but might support a claim for breach of fiduciary duty if the SPD does not. In re DeRogatis, 16-977-cv, 16-3549-cv (2d Cir. Sept. 14, 2018) (slip op.). Petitioner’s Claim Emily DeRogatis brought two lawsuits concerning benefits under her deceased…

Adding Value – McNees PA Tax Blog

Update on Pennsylvania’s Real Estate Tax “Purely Public Charity” Exemption and PILOTs

By Paul Morcom on October 16, 2018

Nonprofit entities that own Pennsylvania real property are under relentless attack from local taxing jurisdictions regarding the exempt status of property used for charitable purposes, and thus must be ever vigilant in fighting back to either maintain a property’s exempt status or gain exempt status for a newly built or acquired property. To be successful, nonprofit entities need to fully understand the constantly evolving landscape of the real estate tax “purely public charity” exemption in…

The CPA Desk

What Are the Tax Consequences of Making Gifts to Loved Ones?

By J. Del Walker on October 16, 2018

Many people choose to pass assets to the next generation during life, whether to reduce the size of their taxable estate, to help out family members or simply to see their loved ones enjoy the gifts. If you’re considering lifetime gifts, be aware that which assets you give can produce substantially different tax consequences. Multiple Types of Taxes Federal gift and estate taxes generally apply at a rate of 40% to transfers in excess of…

Tax Equity Times

Environmental, Social and Governance Investing Event: Solar ITC & Qualified Opportunity Zone Presentation

By David K. Burton on October 15, 2018

I was a panelist at an event held at Mayer Brown’s New York office addressing Environmental, Social and Governance (“ESG”) investing on October 4. On the panel, I addressed the tax benefits associated with certain ESG investments, with a focus on Qualified Opportunity Zone Funds and solar investment tax credits (ITC). Here are the slides that I presented to describe each on a high level: Qualified Opportunity Zone and ITC Slides for ESG Event.…

Tax Controversy 360

Weekly IRS Roundup October 8 – 12, 2018

By McDermott Will & Emery on October 15, 2018

Presented below is our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of October 8 – 12, 2018: October 8, 2018: IRS issued a special update in Questions and Answers about Reporting Related to Section 965 on 2017 Tax Returns, providing that transfer agreements under Prop. Reg. § 1.965-7 filed in accordance with the future guidance after the deadline, October 9, 2018, will nevertheless be considered timely filed.…

SALT Shaker

COST 2018 Annual Meeting

By Eversheds Sutherland SALT on October 15, 2018

OCTOBER 23 – 26, 2018 Council on State Taxation (COST) Annual Meeting Eversheds Sutherland is pleased to sponsor the Council on State Taxation’s 49th Annual Meeting from October 23-26, 2018 in Phoenix, AZ. Join us for this informative program. Registration information can be found here. Eversheds Sutherland SALT lawyers are presenting on several topics including: What to Do About “Phantom Income” In Your Tax Base – Jonathan Feldman All the Right Moves: Understanding and Communicating the State…

The CPA Desk

What Tax Payers Need to Know About International Tax Reform

By PKF Texas on October 15, 2018

https://youtu.be/fx__kd7NQIw Jen: This is the PKF Texas Entrepreneur’s Playbook. I’m Jen Lemanski, and I’m back again with Frank Landreneau, one of our international tax directors. Frank, welcome back to the Playbook. Frank: Well, thanks for having me back. Jen: So, we’ve been covering international tax reform. What else do people need to know? What haven’t we covered yet? Frank: I think other than the Toll Tax, which is getting more immediate attention because of…