Patenting Tax Ideas

Article:  This article explores tax-strategy patenting. It provides an overview of the issue and discusses the AICPA’s concerns and activities to keep its members informed, as well as its attempts to seek a legislative remedy that will stem the tide of these types of patents.
Published on May 10, 2010

Catastrophe Claims Evaluation

Article:  With the continued leaking of oil in the Gulf of Mexico, violent storms in the Midwest, the beginning of fire season in the west and hurricane season in the east, forensic accountants will have their work cut out for them as they strive to quantify the myriad claims that always
Published on January 28, 2011

Applying AICPA Business Valuation Standards in Tax Practice

Article:  the AICPA issued Statement on Standards for Valuation Services (SSVS) No. 1, Valuation of a Business, Business Ownership Interest, Security, or Intangible Asset, effective for all engagements accepted on or after January 1, 2008. The new standards apply to any AICPA member, or a nonmember CPA practicing in a state
Published on May 02, 2010

Current Corporate Income Tax Developments (Part I)

Article:  This article focuses on some of the more interesting items in the following corporate income tax areas: nexus; Sec. 338(h)(10) transactions; allocable/apportionable income; and tax base.
Published on May 10, 2010

Advisers Beware The Cost of Being Sued Is Going Up

Article:  This article explores the circumstances surrounding the awarding of interest on unpaid tax liabilities in malpractice cases. It analyzes the prior case law, discusses the decisions in two recent cases, and considers the future treatment of interest in accounting malpractice suits.
Published on May 10, 2010

Ponzi Schemes, Clawbacks, and the Claim of Right Doctrine

Article:  Many people who lost money in Ponzi schemes are later told by a bankruptcy trustee that they were “net winners” and are required to pay back past withdrawals to be redistributed to the...
Published on September 30, 2012

Government Loses Son of Boss Tax Shelter Case

Article:  In a rare tax shelter loss for the IRS, a federal district court has allowed a taxpayer to offset income with losses from a “son of boss” transaction.
Published on May 12, 2010

How Changes in Corporate Tax Rate Can Affect Choice of C vs. S Corp.

Article:  This item examines the effect of the proposed lower corporate tax rates in an analysis of the tax results of converting an S corporation to a C corporation.
Published on September 30, 2012

Deducting Losses for Defrauded Investors

Article:  This article considers theft losses “incurred in an activity engaged in for profit.” These investment theft losses are not subject to the 10% of AGI reduction for losses of personal use property, the 2% of AGI floor for miscellaneous itemized deductions, or...
Published on January 28, 2011

S Corporations with Earnings and Profits

Article:  S corporations that have accumulated C corporation earnings and profits have both problems and opportunities. This article discusses the opportunities and explores solutions to the problems
Published on January 28, 2011

Ponzi Schemes The Implications for Defrauded Investors

Article:  The losses incurred in a Ponzi scheme may be deductible as theft loss under Sec. 165(a) as an ordinary deduction in the year the loss was discovered, with certain limitations. A taxpayer cannot deduct losses as long as there is a possibility of recovery and litigation is ongoing.
Published on January 28, 2011

Retirement Plans, IRAs, and Annuities Avoiding the Early Distribution Penalty

Article:  This article discusses how the 10% penalty on early distributions and the exceptions apply to various types of plans, accounts, and annuities.
Published on June 16, 2011

Sponsorships Offer Opportunities for Nonprofits, Corporations

Article:  With declining endowments and decreasing charitable contributions, many exempt organizations are considering creative ways to obtain funding. Corporate sponsorships remain one excellent opportunity.
Published on January 28, 2011

IRS Issues Guidance on Losses from Ponzi Schemes

Article:  The IRS has released guidance on how investors who have fraud losses from a Ponzi scheme should treat their losses for tax purposes and has provided a safe harbor for taxpayers to use in determining the amount and the timing of their losses from a Ponzi scheme.
Published on January 28, 2011

Self-Employment Tax Policy Considerations

Article:  In March 2010, healthcare reform included an increased Medicare tax for high-income employees and self-employed individuals (IRC §3101(b)(2) and §1401(b)(2)) and a new unearned income Medicare contribution tax for high-income individuals (IRC §1411). Also in 2010, a "loophole closer" proposal called for self-employment tax on earnings of certain S corporation
Published on January 28, 2011