Category Archives: Business and Tax Law
Corporate Transparency Act Update
Businesses and their beneficial owners have less than four months to comply with the reporting requirements set forth in the Corporate Transparency Act (CTA), which took effect January 1, 2024. The CTA is designed to combat money laundering and other financial crimes by requiring a broad range of entities to disclose information about their owners and ... Read More
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Nancy Ortmeyer Kuhn on the latest development regarding charitable conservation easements
Is the Supreme Court likely to take up a tax case regarding a clear split between the 6th and 11th Circuits regarding conservation easements? Read an analysis in this Bloomberg article written by our own attorney, Nancy O. Kuhn. Conservation Easements: A Circuit Split on the Validity of a Treasury Regulation Adds to Uncertainty for Donors ... Read More
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Charitable Conservation Easements Found A Friend In The 11th Circuit
Many Tax Court cases have been decided based upon an obscure Treasury Regulation, upholding the IRS’ 100% disallowance of charitable conservation easement deductions. The 11th Circuit struck down the Regulation, holding that it is “arbitrary and capricious”. A rare win for taxpayers. The Bloomberg article attached below was written by our own attorney, Nancy O. Kuhn. A Rare Victory For Taxpayers ... Read More
TAGGED: irs, tax, Treasury Regulation, 11th Circuit, taxpayers
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Client Alert: Key Provisions in the Consolidated Appropriations Act of 2021
The Consolidated Appropriations Act, 2021 (“CAA 2021") was passed by Congress on December 21, 2020 and signed into law by the President on December 27, 2020. A few highlights of the new law include the following: Small businesses with fewer than 300 employees which can establish a 25% or more drop in gross receipts during the 1st, ... Read More
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COVID-19: District of Columbia Emergency Legislation Providing for Payment Plan Application Process and Rental Increase Restrictions Under Retail Leases
On May 13, 2020, the “Coronavirus Omnibus Emergency Amendment Act of 2020” was approved by District of Columbia Mayor Muriel Bowser which imposed new requirements upon landlords and tenants under residential and commercial retail leases, as well as touching upon many other areas of District of Columbia law including, but not limited to, alcohol beverage regulation, cooperative association remote meetings, ... Read More
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Client Alert: Sorting Through The Various COVID-19 Relief Programs and Conflicting Guidance on Loan Forgiveness
Small businesses and charities may be sorting through the various programs recently enacted and signed into law, trying to figure out which one is best. While each business or charity is unique and no one option is best for all, bets can be hedged and more than one program may be utilized. The Paycheck Protection Program (“PPP”) enacted through the ... Read More
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Families First Coronavirus Response Act
On March 18, 2020, the 118th Congress of the United States signed into law the Families First Coronavirus Response Act, which will go into effect on April 2, 2020. The primary details of this newly enacted law are as follows: EMERGENCY FAMILY AND MEDICAL LEAVE EXPANSION ACT (Section 3101) Applies to employers with fewer than 500 employees, but more than 25 ... Read More
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SCOTUS Opinion: Court Strikes Down The “Bob Richards Rule”
The IRS allows affiliated corporations to file a group tax return. When the IRS issues a tax return to the group as a whole, federal law does not describe how to allocate the funds. The Ninth Circuit created a rule for that when it decided In re Bob Richards Chrysler-Plymouth Corp., 473 F.2d 262 (1973). The "Bob Richards Rule" mandated ... Read More
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SCOTUS Opinion: Court Enforces Removal Jurisdiction In Vacating Orders Against The Catholic Church
The case of Roman Catholic Archdiocese of San Yuan, Puerto Rico v. Feliciano concerned complaints filed by employees of Catholic schools in Puerto Rico alleging wrongful termination of their pension plan. Initially, the Puerto Rico trial court determined that the Roman Catholic and Apostolic Church in Puerto Rico was the proper entity that owed obligations to the plan, and ... Read More
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Employers Receive Additional Guidance with the New Department of Labor Rule, Making It Easier to Avoid Classification as a Joint-Employer
The Department of Labor issued a final rule on January 12, 2020 regarding the interpretation of joint employer status under the Fair Labor Standards Act (FLSA). The FLSA requires employers to pay employees the federal minimum wage for every hour worked and to pay overtime for every additional hour worked over 40 during a workweek. Liability for making such payments falls ... Read More
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End of the Calendar Year: A Good Time to Confirm Compliance Issues for Businesses
Corporations, limited liability companies (LLCs), and other business entities are certainly aware of the need to make certain end of year decisions for income tax purposes, but it also is a good time to perform a business audit for possible state, local, and personal property tax return deadlines. It is also advisable for businesses to review other corporate compliance issues, such ... Read More
TAGGED: washington dc, maryland, nonprofits, Corporations, limited liability companies, business entities, District of Columbia, duty of loyalty, duty of care, LLC, Corporate Filing Requirements, Virginia, biennial reports, Annual Reports, property tax return (Form FP-31), l Business Tangible Personal Property Returns, Arlington County, Fairfax County, Fairfax County Department of Tax Administration, Corporate Formalities, Boards, Meetings, Elections, and Recordkeeping, Corporate Requirements, Corporate Bylaws, Fiduciary Duties, Breaches of Fiduciary Duties, Payroll Taxes
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Tax Filing Deadlines – A Good Time to Confirm Other Compliance Issues for Businesses
Corporations, limited liability companies (LLCs), and other business entities are certainly aware of tax filing deadlines in the month of April, but tax season is also a good time to perform a business audit for other important dates, including applicable state and local requirements and personal property return deadlines. It is also advisable to review other corporate compliance issues, such as ... Read More
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Department of Labor Proposes New Overtime Rules
Employers will recall during the Obama administration that the salary threshold for determining overtime eligibility under the Fair Labor Standards Act was changed from $23,660 per year to $47,476.00 per year. Many employers modified their own employment policies to meet the new standard despite the federal regulations never being implemented due to a successful court challenge. The Trump administration has ... Read More
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Tax Planning for Nonresident Aliens Who Own US Property
Individuals who are not citizens or residents of the United States, known as nonresident aliens (NRA), need to be aware of the U.S. estate and gift taxes that will be applicable to their U.S. fixed assets, for example, U.S. real estate. If an NRA owns fixed assets located in the ... Read More
TAGGED: real estate, irs, nonresident aliens, property, qdot, taxes, trust & estates
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Are Business Lunches Entertainment?
The new tax legislation, called the Tax Cuts and Jobs Act (TCJA) eliminated most deductions for client entertainment expenses. Prior law allowed a 50 percent deduction for both meals and entertainment expenses, and so there was no need for businesses to differentiate between the two categories. The newly enacted TCJA eliminated deductions for entertainment, amusement, and recreation expenses, but ... Read More
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Pending Emergency Legislation to Affect Tax Sales and Recordation Tax on Leases
The Washington, D.C. Council is considering B22-922: Fiscal Year 2019 Budget Support Congressional Review Emergency Act of 2018 which, among many provisions, contains a few changes of interest to real estate practitioners which are found here. Recordation Tax: On leases in excess of 30 years, the Washington, D.C. government may determine the fair market value of the leasehold interest ... Read More
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D.C. Tax Rate Changes Effective October 1, 2018
The District of Columbia’s Office of Tax and Revenue has issued a notification of changes in various tax rates that will become effective on Monday, October 1, 2018. The real property tax for Class 2 properties will increase to $1.65 per $100 of value for properties worth less than $5,000,000; $1.77 from $5 million to $10 million; and $1.89 for ... Read More
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Conservation Easements: Congress Giveth and the IRS & Tax Court Taketh Away
By: Nancy Ortmeyer Kuhn, Esq. Charitable conservation easements have long been controversial, and there was some concern that the new tax legislation enacted in December 2017[1] would limit the conservation easement charitable deduction. However, there were no limits placed upon conservation easements, and even the syndicated easements[2] were left alone. This particular area of the law is ... Read More
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Key Provisions of the Tax Cuts and Jobs Acts
By: Nancy Ortmeyer Kuhn, Esq. The “Tax Cuts and Jobs Act” or “TCJA” is the new tax law effective for tax years beginning January 1, 2018 or later. TCJA has many interconnected parts and it is not yet completely clear how some of these parts will co-exist to impact certain taxpayers. Already, many questions have arisen regarding interpretation of terms and ... Read More
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Exempt Organizations: Tax Reform Provisions to Watch
Part II: Senate and House proposals By Nancy Ortmeyer Kuhn, Chair of Jackson & Campbell's Tax Group The Joint Committee on Taxation released the Senate’s “Description of the Chairman’s Mark of the ‘Tax Cuts and Jobs Act’” on November 9, 2017. The Ways and Means Committee of the U.S. House of Representatives previously released its long-awaited tax bill on November 2, ... Read More
Upcoming Event: How Women Lead
How Women Lead Featuring Flora D. Darpino, 39th U.S. Army Judge Advocate General ... Read More