Innovative Strategies For Tax Controversies, Business Structuring And Estate Planning
April 26, 2005 Mr. Ronald Cappuccio Cherry Hill, NJ 08002 Dear Ronald: Thank you for contacting me about bankruptcy reform. I appreciate hearing from you on this issue. In recent years, I have voiced support for a comprehensive review of our nation’s bankruptcy laws....
Credit Card Companies and abusive lenders such as rental centers got their wish; a new anti-consumer Bankruptcy Bill. Congress passed a bill forcing debtors to repay debts instead of getting them discharged. The bill also adds provisions requiring lawyers for debtors...
The IRS recently published filing and penalty statistics for FY2004. A whopping 6.4 million penalties were doled out on the 30.4 million employer withholding returns filed — a rate of over 20%. A total of $2.47 billion in penalties was assessed. Over 90% of the...
Taxpayers spent more than $90 billion to comply with the tax code in 2002, according to preliminary estimates using IRS data presented on April 11 by Eric Toder of the Urban Institute in Washington. The figure considers the monetary burden of complying plus a...
In a unanimous decision, Rousey v. Jacoway, the Supreme Court held that creditors may not reach IRAs for petitioners who file bankruptcy. This means IRA’s are treated the same as other pension type plans for Bankruptcy purposes. As a basis for its decision, the US...
If you are caring for your mother or father, you may be able to claim your parent as a dependent on your income taxes. This would allow you to get an exemption (currently $3,100) for him or her. There are five tests to determine whether you can claim a parent as a...
Telecommuters Must pay NY State Income Tax A closely divided New York Court of Appeals upheld a controversial tax policy that has made New York state the bane of telecommuters, and something of an outcast among its neighbors. The state’s high court held in a 4-3...
1031 Exchanges Exempt from NJ Non-Resident Withholding Tax The tax law effective August 1, New Jersey P.L. 2004, C.55 (N.J.S. 54A:8-10), which demanded real estate tax withholding from nonresident New Jersey sellers, no longer applies to sellers in a §1031 exchange....
Can Trust Fund Penalties be Discharged in Bankruptcy? Some employment tax obligations are dischargeable in Bankruptcy. For instance, a proprietor employer’s share of FICA tax more than 3 years old at time of bankruptcy petition would be dischargeable. 11 USC...
Question: My accountant recommends an “S” Corporation rather than a LLC becasue LLC’s are taxed as partnerships and that is more complex. What do you think? Answer: The LLC offers more flexibility than an S corp. Remember only qualified persons can hold S stockwhereas...
