You have worked hard to shape your legacy, not only through financial planning, but through the cultivation of your values, your relationships and your community involvement. An important part of maintaining your legacy, and a critical part of your ongoing financial planning, is a proper estate plan.
Internal tax departments are charged with providing tax-planning that minimizes cash outflow while maintaining compliance with all federal, state, local and foreign tax laws. These requirements are not new, but they must be executed in a highly regulated environment and the need to “get it right” has never been greater.
The August 2013 issue of The Journal of Multistate Taxation and Incentives featured an article authored by Bennett Thrasher’ Peter Stathopoulos’, “State Taxation of Remote Sellers: Has the Physical Presence Nexus Test Been Rendered Obsolete?” In the article, Stathopoulos discusses what will happen should the Marketplace Fairness legislation fail to be enacted.
The International Accounting Standards Board (IASB) and the Financial Accounting Standards Board (FASB) on May 16, 2013 published for public comment a revised Exposure Draft outlining proposed changes to the accounting for leases. The proposal aims to improve the quality and comparability of financial reporting by providing greater transparency about leverage, the assets an organization uses in its operations and the risks to which it is exposed from entering into leasing transactions.
Atlanta and the Southeast have seen significant expansion of commercial and residential construction over the past year. These construction projects are a very positive sign that we, as a community, are recovering from the recent recession. This means new jobs, innovation and expansion of businesses into our area.
Partner Jerry Weil provided expert comment to AARP on forming LLCs for its July 19, 2013, Life Reimagined article, “Forming An LLC? 5 Questions To Ask.” The article discusses the popularity of limited liability companies (LLCs) among entrepreneurs because of the separation it creates between the owner and the business, and because it also offers flexibility for tax purposes. Weil says, “An LLC is probably the default recommendation because it is so flexible.”
The American Taxpayer Relief Act of 2012 (ATRA) was passed by the United States Congress on January 1, 2013 and signed into law by President Obama on January 2, 2013. ATRA averted critical tax effects of the potential “Fiscal Cliff.” A new marginal tax rate of 39.6% has been enacted as the top tax bracket for Single Individuals ($400,000), Married Filing Joint ($450,000), Married Filing Separate ($225,000) and Head of Household ($425,000).
The bar for appraisal reports in the estate and gift tax area that will withstand IRS scrutiny continues to rise according to a webinar presented by Michael Gregory, a former IRS executive with over 28 years of experience in this area.
Although traditional 401(k) plans have become widespread, many employers are adding Roth 401(k)s to their employee benefits.
The deadline is fast approaching for the payment of plan fees to fund patient-centered outcomes research that were created under the Patient Protection and Affordable Health Care Act (ACA). Issuers of specified health insurance policies and plan sponsors of applicable self-insured health plans are required to pay the fee by July 31.
On July 12, 2013, Creditcards.com turned to Bennett Thrasher Partner Peter Stathopoulos for insight into what the Marketplace Fairness Act means for small businesses in the article, “Internet Tax Law Could Create Challenges for Small Businesses.” The bill would give states the authority to require out-of-state retailers to collect and remit sales taxes to a customer’s local and state government.
The Net Investment Income Tax (NIIT) is an additional 3.8% Medicare tax, introduced by the addition of §1411 of the Internal Revenue Code by the Health Care and Education Reconciliation Act of 2010. The tax is in effect for tax years beginning after December 31, 2012. The regulations for §1411 are yet to be finalized, but the proposed regulations are suitable for taxpayers and preparers to rely on in the interim.