Appreciation Case Highlights Contribution by Non-Owner Spouse
Allison v. Allison A Michigan divorce case that centered on the non-owner spouse’s right to the appreciation in value of allegedly separate property is informative as it shows what factors the court considers for its active/passive analysis. However, the size of the...
Proposed Regs Would Expand Health Reimbursement Arrangements
Three federal agencies—the IRS, the Department of Labor, and the Department of Health and Human Services—have issued proposed regulations that would let employers fund tax-exempted health reimbursement arrangements in order to help pay for employees’ individual health...
In Controversial Move, Tax Court Tackles ‘Double Inclusion’ Problem
Estate of Powell v. Commissioner Given the unfavorable optics of a recent case, the Tax Court’s finding that the value of assets transferred from the decedent to a family limited partnership was includible in the value of the decedent’s gross estate is not...
Court in Brundle Case Sticks to Earlier ESOP Liability and Damages Rulings
Brundle v. Wilmington Trust N.A. (Brundle II) Three months after ruling the ESOP trustee was liable for causing the plan to overpay, the court had a chance to revisit its decision in the context of the trustee’s motion for reconsideration. While the court admitted to...
Improper Use of Active/Passive Framework Skewers Valuation
Bair v. Bair When confronted with quantifying the appreciation of non-marital property, it is common for valuators first to classify the change in value as “active” or “passive” and then do the valuation. A Florida case shows that, when applied prematurely, this...
Gender-Based Pay Discrimination Allegations: Is Your Business Vulnerable?
Do you know what constitutes pay discrimination in the eyes of the courts and regulators? As equal pay for men and women has become a hot-button issue in the business world due to the #MeToo movement and recent surveys documenting widespread pay disparity, you...
The IRS Tells Employers How to Report W-2 Scams
What should you do if your company becomes the victim of a W-2 scam? The IRS recently explained how to report the scam and your next steps (and how to avoid being taken in by this scam!). What Is A W-2 Scam? Any company can be the target of a W-2 scam. These scams...
Chancery’s DCF Upends Appraisal Arbitrage Strategy
In re Appraisal of SWS Group, Inc. Only days after deferring to the merger price in the PetSmart case, the Delaware Court of Chancery opted for the discounted cash flow analysis in the instant appraisal proceeding. This case, which featured a bank holding company,...
7 Year-End Tax Planning Moves for Small Businesses
There is still time for business owners in Maine and elsewhere to significantly reduce their tax bills for 2018. Taking the changes included in the Tax Cuts and Jobs Act (ACJA), here are seven year-end moves to consider: 1. Claim 100% Bonus Depreciation for...
Expert’s Damages Opinion Specific Enough for Class Certification Stage
Willis v. Big Lots, Inc. In what is becoming a common practice, the defendants in a potential securities class action filed a Daubert challenge to exclude financial expert testimony at the class certification stage. Although courts are divided whether Daubert should...