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Estate Planning for the Family Business Owner 2023: Part Three (3/8)

Content Provider
American Law Institute CLE
Product
CLE
Run Time
118 Minutes
Recording Date
10/05/2023
Presenter(s)
David Aughtry, Steve Gorin
Learning Method
On-Demand Training
Practice Area
Estate Planning and Elder Law, Taxation, Corporate and Business Law, Family Law
Persona
CLE OnDemand

Price $259.00

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Description

Ensuring a business legacy can be a complicated undertaking. Family owners often focus on operational matters while ignoring succession planning. At other times, succession planning may be mired in family strife to the detriment of operational success. In fact, inadequate business and succession planning is one of the leading causes of family business failures.
Taxes add yet another level of complexity for family businesses. Compensating owners for services, rent of owners' property, and various other arrangements can trip up business owners. Business succession plans can affect estate tax values. Deferred or uncertain estate tax liability can cause a family business to lose its line of credit, accelerate a long-term loan, or negatively affect a surety bond.
This highly rated program addresses these issues and offers practical tips for counseling clients on business succession and tax challenges. Attended by sophisticated legal practitioners and industry professionals nationwide, this annual program is a go-to resource for family businesses seeking prosperity beyond current owners or business-savvy exit solutions.
Topic includes:
- Lessons For Every Family Business from the Biltmore
The long-awaited Tax Court opinion in Cecil v. Commissioner carries the most important lessons about the greatest threats to every family business. Most important, this family developed covenants that inspire the next generation to be productive humans, rather than worthless. And secondly, this case illustrates how to protect the business against forced tax liquidation or deep erosion by recognizing the financial realities of tax-affecting and certain appraisal standards (USPAP 9-3).
- Operational Tax Issues for Family Businesses
The IRS has been attacking family businesses regarding reasonable compensation, constructive dividends, self-employment tax, accumulated earnings tax (the rules of which are also relevant for IRC § 6166 estate tax deferral), the 3.8% net investment income tax, and the passive loss rules. A tax litigator and a planner explain not only the rules but also how to coach clients regarding substantiating the reasonableness of arrangements, documenting arrangements, and proving participation in the business.

Literature

State Status Total Credits Type Of Credit Approved Thru
AlabamaApproved1.50General12/31/2024
AlaskaApproved2.00GeneralOn-going
ArizonaApproved1.75GeneralOn-going
ArkansasApproved1.75GeneralOn-going
CaliforniaApproved1.75Participatory10/05/2028
ColoradoApproved2.00General12/31/2025
ConnecticutApproved1.75GeneralOn-going
DelawareApproved2.00General10/04/2025
FloridaApproved2.50General06/30/2025
GeorgiaApproved2.00General12/31/2024
HawaiiApproved1.75General10/05/2025
IdahoApproved2.00General10/05/2028
IllinoisApproved1.75General11/29/2025
IndianaApproved1.50General12/20/2024
IowaApproved1.75General10/04/2024
KansasApproved2.00General12/24/2024
KentuckyApproved1.75General06/30/2024
LouisianaApproved1.96General11/26/2024
MainePending State Response0.00
MinnesotaApproved1.75General11/29/2025
MississippiApproved2.00General11/26/2024
MissouriApproved2.40GeneralOn-going
MontanaApproved2.00General10/05/2026
NebraskaApproved1.97General10/04/2025
NevadaApproved1.50General12/31/2026
New HampshireApproved2.00General10/04/2026
New JerseyApproved2.00GeneralOn-going
New MexicoApproved2.00General10/04/2028
New YorkApproved2.00SkillsOn-going
North CarolinaApproved1.75General12/31/2024
North DakotaApproved2.00General10/05/2026
OhioApproved1.75General12/31/2024
OklahomaApproved2.50General12/17/2024
OregonApproved1.75General10/04/2026
PennsylvaniaApproved1.50General11/07/2025
Puerto RicoApproved1.97General12/31/2024
Rhode IslandApproved1.75General06/30/2024
South CarolinaPending State Response0.00
TennesseeApproved1.97General11/26/2024
TexasApproved1.75General11/30/2024
UtahApproved1.50General12/31/2024
VermontApproved1.75GeneralOn-going
VirginiaApproved1.50General10/31/2024
WashingtonApproved1.75General10/04/2028
West VirginiaApproved2.36GeneralOn-going
WisconsinApproved2.00GeneralOn-going
WyomingApproved2.00General11/26/2024

Speakers