On August 24, 2022, the Internal Revenue Service (“IRS”) released Notice 2022-36, which provides relief for eligible taxpayers from failure to file penalties for specified tax returns for the 2019 and 2020 tax years that are filed on or before September 30, 2022. The Department of the Treasury and the…
Category: Tax Planning
››The Internal Revenue Service recently issued Rev. Proc. 2022-32, which permits certain estates up to 5 years to file a federal estate tax return (Form 706) in order to make a portability election and thereby transfer a decedent’s unused estate tax exemption to his or her surviving spouse; an estate…
When a business owner receives a letter of intent from a buyer to purchase their business, the business owner may be surprised to learn that the transaction is contingent on the underlying business entity engaging in an “F” reorganization. The business owner may be curious as to why a potential…
Last year’s proposed tax changes in the Build Back Better Act were full of sound and fury but ultimately no major tax legislation was passed. While the revised Build Back Better Act generally removed the estate and gift tax changes and many of the individual and corporate income tax hikes,…
For tax purposes, the basis of an asset generally equals its purchase price, and an asset’s basis determines the gain or loss when sold. If, for example, you purchase stock for $50 that you later sell for $75, you have a $25 taxable gain (i.e., $75 sale price less your…
