Practical perspectives for contemporary legal challenges.
Generation-Skipping Transfer (GST) trusts have long been a popular estate tax planning tool used to defer transfer tax to a future generation. While the estate tax exemption is at a historical high, the GST tax exempt status of existing trusts is still important when planning for a family’s overall tax situation. Trusts established by a …
Continue reading “Tax Tip: Generation-Skipping Transfer Trusts”
When I first heard the term “conscious uncoupling” during Gwyneth Paltrow’s divorce I thought “that’s so Hollywood”. However, the more I thought about it the more it made sense. If more divorcing parents could follow the famous couple’s lead the better their children would be. The reality in a divorce with children is that your …
Continue reading “The Best Interest of the Children: Putting the Kids First in Your Divorce”
Internal Revenue Code Section 162, as amended by the 2017 Tax Cuts and Jobs Act (TCJA), provides that no deduction is allowed for any amount paid to, or at the direction of, a governmental entity in relation to the violation of any law. A corresponding obligation to report the receipt or imposition of such “fines …
Continue reading “IRS Issues New Form For Reporting Non-Deductible Fines and Penalties”
You may have heard the word “Custody” or “Legal Custody” used in connection with a parent’s right to make decisions concerning education (such as school choice), medical decisions (such as whether a child will receive certain immunization) and religion (such as religious preferences). However, Arizona does not use the word “custody” in making decisions about …
If you made gifts in 2018 now is the time to begin thinking about filing a gift tax return. If you made gifts in 2018 in excess of the gift tax annual exclusion amount ($15,000 per donee in 2018, or $30,000 if a husband and wife elect to split gifts and a gift tax return …
Parenting time can be one of the most contentious issues in a divorce. Deciding which parent sees the children, how much and under what circumstances can be a very tricky and emotionally charged effort. As part of any divorce the parents must either agree to, or a court will order, a Parenting Plan. The Parenting …
Continue reading “Do I Need a Right of First Refusal in My Parenting Plan?”
For many years, the IRS has looked the other way when employers have provided their employees with free meals. A new Technical Advice Memorandum (“TAM”) suggests otherwise, in ultimately holding that employer-provided meals were not excludible from income except in limited situations. In 2014, the Department of Treasury released its priority guidance plan, which raised the …
Papers are filed, the dissolution action is pending before the Court, and you may think you are on your way to living separate and apart from the other person for the rest of your lives. Don’t start changing the keys on the door too fast. Neither party is required to leave the marital residence during …
Continue reading “Who Decides Who Gets to Live in the House While We Go Through the Divorce?”
It is not is too late to plan for 2018. Under Section 663(b) of the Code, the “65 Day Rule” provides an opportunity for estates and certain trusts to elect to treat distributions made within 65 days of year-end as if made on the last day of the prior tax year and thus to carry-out …
Continue reading “Estate and Trust Planning Opportunity – The 65 Day Rule”
Many times the thought of going to court to resolve issues pending in your divorce is frightening. Accordingly, it makes sense, prior to going to court, to at least attempt to mediate your dissolution matter and resolve as many issues as possible. However, the thought of meeting with your spouse and the mediator in one …
Continue reading “What to Expect When Mediating Your Divorce Case”