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Showing 8993–9008 of 10245 results
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Personal vs. enterprise goodwill – Another state recognizes the critical difference
January / February 2010
Newsletter: Advocate's Edge / Litigation Support
Price: $225.00, Subscriber Price: $157.50
Word count: 618
Abstract: The Kentucky Supreme Court recently joined the majority of states that distinguish between personal and enterprise goodwill when valuing a business. Such a distinction can significantly affect divorce settlements when one spouse holds an interest in a closely held business or sole proprietorship — particularly a professional practice. This article looks at how the court came to its conclusion that spouses will receive no share of their partner’s personal goodwill.
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What makes a fraud interview effective?
January / February 2010
Newsletter: Advocate's Edge / Litigation Support
Price: $225.00, Subscriber Price: $157.50
Word count: 737
Abstract: Conducting effective fraud interviews requires knowledge about everything from behavioral psychology to criminal law to accounting and auditing rules. Before they interview a suspect, experts gather documentary evidence, interview other employees, and learn about the potential perpetrator. Armed with that information, the investigator then conducts the interview in a way that minimizes a suspect’s defensiveness. Engaging a forensic expert to perform this critical task could mean the difference between recovery of stolen funds and a successful prosecution, and the perpetrator getting away with thousands — even millions — of dollars.
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Court’s FLP ruling is a win-win — and a reminder
January / February 2010
Newsletter: Advocate's Edge / Litigation Support
Price: $225.00, Subscriber Price: $157.50
Word count: 862
Abstract: The number of cases challenging the legitimacy of family limited partnerships (FLPs) continues to grow. Typically, these can be classified as either a taxpayer or an IRS win, but one recent U.S. Tax Court ruling is at least a partial victory for both sides. The case involves two separate transfers of interest in an FLP — one made three days before the decedent’s death. This article explains why one transfer passed muster with the Tax Court and the other didn’t, while a sidebar discusses whether the fair market value of the decedent’s assets in a QTIP trust were includible in her gross estate.
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News for nonprofits – Family foundations to fill funding gap?
Year End 2009
Newsletter: Nonprofit Agendas
Price: $225.00, Subscriber Price: $157.50
Word count: 432
Abstract: This month’s “News for Nonprofits” looks at how family foundations can help make up for recent decreases in donations, and why a nonprofit that has authority over — or is the signer on — a bank or financial account in a foreign country at any time during the calendar year will likely need to file a Foreign Bank and Financial Accounts (FBAR) report.
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Reasons mount for a conflict-of-interest policy
Year End 2009
Newsletter: Nonprofit Agendas
Price: $225.00, Subscriber Price: $157.50
Word count: 483
Abstract: Questions on the new Form 990 are the latest reasons to have a conflict-of-interest policy in place. The new form, now in use for 2008 returns, directly asks if a tax-exempt nonprofit has a written conflict-of-interest policy. The IRS doesn’t require charities to adopt such a policy (or other policies). But lacking one could prompt the agency to take a closer look at an organization’s tax returns. Having a conflict-of-interest policy also is important for obtaining tax-exempt status. This article looks at specific issues a policy should address, while a short sidebar discusses the importance of putting it in writing.
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Navigating trouble spots on revised Form 990
Year End 2009
Newsletter: Nonprofit Agendas
Price: $225.00, Subscriber Price: $157.50
Word count: 617
Abstract: Many nonprofits, having filed extensions for more time to prepare the revised Form 990 for 2008, are now wrestling with some of the form’s questions. The form asks whether a nonprofit has certain written policies relating to organization governance, such as conflict-of-interest and whistleblower policies, and about the independence of board members. (The form’s instructions are exact about the three-part test to be used to determine whether a board member is independent.) It will also be necessary to answer questions pertaining to controlled entities and to related organizations. This article shows where to find answers to some questions that nonprofits might have.
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Put your best foot forward – Giving donors and funders the financial information they need
Year End 2009
Newsletter: Nonprofit Agendas
Price: $225.00, Subscriber Price: $157.50
Word count: 868
Abstract: Donors and grant-making organizations are becoming increasingly sophisticated in their scrutiny of potential donees. They’re particularly interested in benchmarking ratios involving program spending, fundraising efficiency and management and general expenses. Some may perform a trend analysis of revenues and expenses, or examine the accumulation of unrestricted net assets. In today’s highly competitive charitable giving climate, it’s critical that a nonprofit put its best foot forward and provide potential donors as much useful information as possible.
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Ask the Advisor – Q. Should my company consider a “virtual merger”?
Year End 2009
Newsletter: Merger & Acquisition Focus
Price: $225.00, Subscriber Price: $157.50
Word count: 467
Abstract: Even when the potential benefits of a merger are enticing, it may not be feasible because of poor economic conditions, lack of financing or regulatory issues. So some companies are opting for a “virtual merger” in which two businesses combine assets or operations yet retain at least some financial and managerial autonomy. A virtual merger can set the stage for a future merger by beginning the integration process now.
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Prepare for the worst with a MAC
Year End 2009
Newsletter: Merger & Acquisition Focus
Price: $225.00, Subscriber Price: $157.50
Word count: 576
Abstract: In a business acquisition, a material adverse change (MAC) clause can provide a buyer with an escape hatch if an extraordinary event adversely affects the seller’s projected performance. Although MACs don’t guarantee that exits from bad deals will be without penalties, they can be a useful tool in desperate situations. And MACs can serve as a negotiating tool; the buyer and seller can discuss what events constitute an adverse change as a way to allocate risk between both parties.
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Tough call: Deciding to write off goodwill
Year End 2009
Newsletter: Merger & Acquisition Focus
Price: $225.00, Subscriber Price: $157.50
Word count: 424
Abstract: During economic downturns, a company may face some major goodwill impairment. For those thinking about selling, such impairment could affect an M&A deal’s value. Companies in this position must decide whether to write off goodwill — which has both pros and cons. Companies that write off goodwill usually reason that it’s a better alternative to having to adjust their company’s overall book value downward. But prospective buyers may oppose it for potential regulatory or legal issues. More often, buyers prefer that their target write off goodwill before negotiating a sale price.
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Good financial projections can help seal your deal
Year End 2009
Newsletter: Merger & Acquisition Focus
Price: $225.00, Subscriber Price: $157.50
Word count: 956
Abstract: Accurately projecting future earnings for a prospective buyer is critical if a business seller hopes to close an M&A deal successfully. This article discusses three of the most common financial projections used, and lists several data points that might bear special scrutiny. While no forecast will be perfect, an enterprise resource projection system can improve accuracy, and communications with the buyer can help keep the deal alive. A sidebar shows how financial projections can also help a company evaluate its health and reverse unwanted trends.
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Estate Planning Pitfall – You’re keeping your trust a secret
Year End 2009
Newsletter: Insight on Estate Planning
Price: $225.00, Subscriber Price: $157.50
Word count: 310
Abstract: Many like to keep their trusts secret because they’re worried that, otherwise, the beneficiaries might spend recklessly or neglect educational or career pursuits. But the law in many states requires trustees to disclose certain information to beneficiaries. One way to avoid the disclosure requirements is by not naming children as beneficiaries and, instead, granting someone else a power of appointment over the trust; however, the power holder is under no legal obligation to provide for the children. So it’s important that those wishing to keep a trust secret be sure to consult an attorney about the law in their state in order to explore alternative strategies.
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Land, sweet land – Preserve it (and reap tax benefits) with a conservation easement
Year End 2009
Newsletter: Insight on Estate Planning
Price: $225.00, Subscriber Price: $157.50
Word count: 597
Abstract: Those who have the opportunity to buy or inherit a pristine piece of land sometimes want future generations to have the opportunity to enjoy it. They can accomplish this through a conservation easement, which is an agreement to permanently restrict some or all of the development rights associated with the land. One grants the easement to a qualified conservation organization and records it so it’s binding on future owners. Not only does a conservation easement preserve the land, but it offers the donor important income and estate tax savings.
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A formula for estate planning success?
Year End 2009
Newsletter: Insight on Estate Planning
Price: $225.00, Subscriber Price: $157.50
Word count: 637
Abstract: An important goal of many estate plans is to optimize use of the unlimited marital deduction, which allows one to leave any amount of assets to a U.S.-citizen spouse estate-tax free. In many cases, however, leaving too much can cause one to overpay estate taxes. To achieve the best tax result regardless of what the future holds, many people incorporate a marital deduction formula into their estate plans. But formulas aren’t right for every situation, and their impact can change over time, such as when net worth or tax laws change. This article takes a look at the distinction between pecuniary and fractional formulas, and whether it’s necessary to use any formula at all.
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Home in on tax savings with an RPM trust
Year End 2009
Newsletter: Insight on Estate Planning
Price: $225.00, Subscriber Price: $157.50
Word count: 1251
Abstract: For those wishing to transfer a personal residence to the next generation at a low tax cost, a remainder purchase marital (RPM) trust is worth a look. Although a qualified personal residence trust (QPRT) is a more common vehicle for transferring a home, an RPM trust offers several advantages. This article looks at the pros and cons of QPRTs, and how RPM trusts can offer a better alternative. (A sidebar gives an example.) On the downside, RPM trusts can cost more than QPRTs, and they aren’t officially sanctioned by the Internal Revenue Code. But by eliminating mortality risk and providing more flexibility, they may well be worth it.
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Tax tips to consider before 2009 ends
Year End 2009
Newsletter: Focus
Price: $225.00, Subscriber Price: $157.50
Word count: 452
Abstract: This short article looks at a number of ways to save money in regard to maximizing retirement account distributions, deciding whether to sell investments that have incurred a loss, and purchasing a car or computer.