Tax Considerations as Businesses Prepare to Emerge from the COVID-19 Shutdown
We’ve Been Better On March 1, 2020, New York had its first confirmed case of the coronavirus.[i] On March 6, pursuant to the Coronavirus Preparedness and Response Supplemental Appropriations Act[ii],...
View ArticlePPP Loan Forgiveness and The Denial of Deductions for Covered Expenses –...
The Program The Paycheck Protection Program[i] has been welcomed by many as the cornerstone of the CARES Act.[ii] It was passed by Congress and signed into law by the President shortly after the...
View ArticleOpting Out of the PPP? There Are Some Tax Benefits to Consider
So Much Promise I am not embarrassed to say that I was excited at the introduction of the bill that would eventually be enacted as the CARES Act.[i] In particular, I viewed the Paycheck Protection...
View ArticleDeductions for PPP Covered Expenses – Almost There; How Will Your Business...
What Did You Do Last Night? “Friday night, May 15 . . . You didn’t watch the roll call vote in the House? . . . On CSPN . . . The HEROES Act. . . . C’mon, seriously. . . . Really? . . . You had no...
View ArticlePost-Quarantine Buyout of a Partner
Uptick in Business Divorces? I’ve read a number of articles over the last few weeks in which marriage counselors have been predicting a wave of divorce filings once the COVID-19 quarantine has been...
View Article“Family Investing” As a Trade or Business? In the Time of the Lockdown?...
Go Figure As of last Wednesday night, the SBA’s website reported that almost 4.5 million businesses had borrowed more than $510 billion under the Paycheck Protection Program.[i] Many businesses are...
View ArticleConformity, the Lockdown, and New York’s Audit of Like-Kind Exchanges
Conforming About sixty years ago, New York revised its personal income tax law to achieve close conformity with the Federal system of income taxation. The stated purpose for the revision was to...
View ArticleThe Like-Kind Exchange of “Real Property” According to the Proposed Regulations
The Taxable Exchange As a general rule, a taxpayer’s exchange of one property for another property is treated as a taxable event; the gain realized by the taxpayer – meaning the amount by which the...
View ArticleLiquidating Trusts, Reopening the Economy, and Creditors’ Rights
Bad Times Of course, you’ve noticed that we’re in the midst of an economic mess. The nearly complete shutdown of large segments of the U.S. economy beginning in March, in response to the COVID-19...
View ArticleCompensating Management with Equity In the Post-COVID World
Business is back . . . Sort of As the country begins its hoped-for recovery from the disruptive economic effects of the COVID-19 virus – or, more accurately, from the measures implemented by government...
View ArticleOut of New York, But Still Being Taxed By New York? Look to the Source
New York Diaspora?[i] Like most every other state in the Union, New York has experienced its share of fiscal stress over the last few decades. The source or cause of its problems? Well, that may depend...
View ArticleWealth Inequality, COVID-19, Recession, The 2020 Election & The Estate Tax
Politics and Wealth Inequality As we approach the presidential convention season,[i] and the election campaign that will follow, the thoughts of many business owners have turned to the federal estate...
View ArticleThe Federal Anti-Deferral Rules for Foreign Income –Just a Reminder, There’s...
It’s Complicated Coming to grips with the U.S. tax treatment of the foreign-sourced income of a closely held domestic business, and of commercial transactions involving such a business and its related...
View ArticleAn S Corporation in New York City: Eschew Obfuscation – Or Not
NYC: A “Helluva” Town, for S corps[i] Of late, I’ve received a surprising number of inquiries regarding the taxation of S corporations doing business in New York City (“NYC”). As many of you know, NYC...
View ArticleVirus to Economic Shutdown to Bankruptcy? Not Necessarily, But Be Prepared
Bankruptcy Resurgent? The economic shutdown, and the ensuing recession, triggered by the COVID-19 pandemic have jeopardized the survival of many businesses and, in some cases, of entire industries....
View ArticleShould Business Corporations Be More Charitable?
Today’s post briefly explores whether the term “corporate charity” is an oxymoron. It also tries to provide a framework for evaluating whether certain “charitable” activities should be undertaken by a...
View ArticleBiden’s Tax Proposals for Capital Gain, Like Kind Exchanges, Basis Step-Up &...
“The board is set. The pieces are moving. We come to it at last.” With these words, Gandalf the White acknowledged that the decisive battle for control over Middle Earth had been joined.[i] So it is...
View ArticleResponding to the Democratic Party’s Tax Plans
The Convention The Democratic Party’s “virtual” convention last week seems to have gone pretty well. All the stars of the Party’s firmament were on hand and spoke in “virtually” one voice in their...
View ArticleTransfer of Funds between Related Entities – Indebtedness or Something Else?
A closely held business may come to our firm for any number of reasons. The owners may be selling the business, for example, or they may be thinking about spinning off a division. In some cases, the...
View ArticleNYC Real Estate: Post-Virus Tax Planning Can Help
NYC Real Estate on the Ropes In March of this year, the Department of Homeland Security classified real estate as an “essential business.”[i] I imagine that the person in Washington who suggested that...
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