Tax MonitorCharging Orders – Not so ExclusiveFebruary 19, 2025 In many states, members of multi-member limited liability companies (“MLLC’s”) find comfort under applicable state law providing a charging order[1] as the sole and exclusive remedy available to creditors of a debtor-member in an MLLC with respect to the debtor-member’s ownership interest in such entity. Despite this common state law limitation, the recent decision in United States v. Driscoll, … Time to Check Your Organizational Chart For Dormant Tax-Exempt EntitiesJanuary 13, 2025 Does your company have any dormant tax-exempt entities in your organizational chart? If so, read on. In recent Private Letter Ruling (PLR) 202437007[1], the Internal Revenue Service (IRS) revoked the tax-exempt status of an organization. The organization had qualified as a tax-exempt supporting organization under Section 501(c)(3) and Section 509(a)(3) of the Internal Revenue Code (Code), and… Estate Planning Forecast: Cloudy with a Chance of SunsetJanuary 7, 2025 With the new year, you have no doubt been inundated with messages nudging you to make a fresh start on any number of things: eating better, saving money, going to the gym, getting more sleep, or stopping a bad habit. As we ring in 2025, the law is giving us another nudge to take a fresh look at our estate plans. The Tax Cuts and Jobs Act of 2017 (TCJA) increased the unified gift and estate tax… RELIEF FOR ERC DEFRAUDED TAXPAYERSDecember 27, 2023 Amid its review of thousands of fraudulent Employee Retention Credit (“ERC”) applications, the Internal Revenue Service (“IRS”) has instituted multiple programs to provide relief to unsuspecting taxpayers victimized by the cottage industry of specialist ERC firms born of the COVID-19 pandemic. Many of these applications aggressively interpret the “business operations suspension test” and rely on… West Virginia Becomes Latest State to Authorize Pass Through Entities to Pay State Income Tax at Entity Level Beginning With Tax Year 2022March 10, 2023 The West Virginia Legislature recently passed a bill that could grant business owners relief from what’s become known as the “SALT cap.” Owners of pass-through entities need to understand the changes enacted by this law immediately because its retroactive nature provides a potential benefit for the 2022 tax year, whose filing deadlines are rapidly approaching. The Federal Tax Cuts and Jobs Act of… U.S. Supreme Court Dismisses Case Relating to In-House Counsel Attorney-Client Privilege for Dual-Purpose CommunicationsFebruary 3, 2023 Key Take-Away: What is the difference between “a” and “the”? Quite a lot if you are in-house counsel for a company that wants to assert attorney-client privilege for dual-purpose communications made by you as in-house counsel. The Supreme Court of the United States (“SCOTUS”) granted cert in In re Grand Jury and recently heard oral arguments regarding dual-purpose communications, giving hope that… Save the Date! 2022 West Virginia Tax Institute Annual Meeting - October 23rd, 24th & 25th - Canaan Valley ResortSeptember 7, 2022 The 73rd Annual West Virginia Tax Institute meeting is coming up fast and we are excited to be back in person for the first time since 2019. The 2022 Program with the schedule and speakers is attached, and we anticipate that the Program will qualify for both West Virginia CLE and CPE credits, which will include ethics/law office management. The full program details and registration forms can also… Inflation Reduction Act Expected to Cost CoalAugust 12, 2022 The U.S. House of Representatives will soon take up the Inflation Reduction Act (“Act”), passed by the Senate earlier this week after a tie-breaking vote by Vice President Harris. The Act seeks to tackle various environmental and health care issues, allocating significant funds toward the reduction of greenhouse gas emissions and placing a cap on out-of-pocket prescription costs for individuals… Estate Planning in the Current EnvironmentJuly 18, 2022 Since the changes to the estate, gift, and generation skipping taxes went into effect in the Tax Cuts and Jobs Act of 2017 (“Tax Act”), advisers and clients have been working to take maximum advantage of the benefits, many of which will sunset at the end of 2025 without further legislative action. The Tax Act doubled the estate, gift, and generation skipping tax exemptions. In 2022, the estate tax… The Superfund Excise Tax Is Returning Soon for the Chemical Industry.May 16, 2022 Chemical companies need to prepare for the return of an excise tax on chemicals produced or imported that hasn’t been in effect for nearly 30 years. In January 2022, the IRS published Notice 2021-66, related to the Infrastructure Investment and Jobs Act (“IIJA”), which revives the excise taxes imposed on certain chemicals—previously known as the Superfund Chemicals taxes. See https://www.irs.gov/p… Service Businesses Should Brace for New Kentucky Taxes in 2023April 27, 2022 The Kentucky General Assembly recently voted to override Governor Andy Beshear’s veto of House Bill 8 (HB 8) which expands the scope of services subject to the Kentucky sales and use tax to a broad range of additional services provided to businesses and consumers in the state. In 2018, the Kentucky General Assembly passed legislation expanding the scope of the Kentucky sales tax to certain… WEST VIRGINIA LEGISLATURE ALTERS PIERCING THE VEIL ANALYSIS FOR LIMITED LIABILITY COMPANIESApril 22, 2022 To avoid facing a piercing the veil argument, West Virginia limited liability companies should ensure they are adequately capitalized and carry sufficient insurance coverage. West Virginia Senate Bill 6 (“SB 6”), signed by Governor Justice on March 28, 2022 and effective June 10, 2022, limits the ruling of the Supreme Court of Appeals of West Virginia in Joseph Kubican v. The Tavern, LLC, 752… |
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