New DOL Process Agreement Confronts Control Issue in ESOP Valuations

November 30, 2020 | Court Rulings, Valuations

Scalia v. Farmers National Bank of Danville & Weddle Bros. Const. Co. The Department of Labor recently settled ESOP litigation with the trustee Farmers National Bank of Danville (FNB). The settlement incorporates a process agreement that contains noteworthy directives instructing the trustee on handling controlling interest acquisitions and indemnification matters. This is the sixth such  Continue Reading »


Employee or Independent Contractor? The Rules May Be Getting Simpler.

November 23, 2020 | Business Plans

In this past election, voters in California approved legislation that allowed companies in the so-called “gig economy” to continue classifying their workers as independent contractors, opposed to employees. This issue isn’t exclusive to California, however, as the topic of classifying workers as independent contractors or employees has gained national attention, especially with the rise of  Continue Reading »


Calculations of Value Are Admissible in Divorce, Alabama Appeals Court Confirms

November 16, 2020 | Court Rulings, Divorce Litigation, Valuations

Horne-Ballard v. Ballard About two years ago, in Rohling v. Rohling, an Alabama appeals court upheld a trial court’s decision to admit into evidence a qualified expert’s estimate about the value of the owner spouse’s business based on a calculation engagement. Recently, the admissibility of calculations of value became an issue in another divorce case,  Continue Reading »


Does Insurance Cover COVID-Related Business Interruption Losses?

November 9, 2020 | Business Plans

Maine’s relatively low number of COVID-19 cases may have saved some business in Portland and throughout the state. But as cases look to be surging across the country and winter fast approaching, many businesses could be in for a challenging time. Small businesses across the country have already lost billions of dollars during the pandemic.  Continue Reading »


‘Particular Facts’ Justify Discounts in Mandatory Buyback of Minority Interest, Says Missouri High Court

November 2, 2020 | Court Rulings, Valuations

Robinson v. Langenbach Context is “crucial,” the Supreme Court of Missouri recently said in upholding the use of discounts in the court-ordered buyout of a minority owner’s shares in a family business. At the same time, the court acknowledged that, “usually,” the rationale for discounts in a mandated sale to a majority stockholder “would have  Continue Reading »


Five Tax Breaks Expiring This Year

October 26, 2020 | Tax Planning, Tax Preparation

Unless Congress takes action in the next few months, several significant federal tax breaks will expire at the end of this year. In the past, lawmakers have routinely made “extender” provisions to continue expiring tax breaks for another year or two. However, with the disruptions caused by COVID, the likelihood of that occurring remains uncertain.  Continue Reading »


Tax Court Spurns IRS’ Gift Tax Valuation Theory and Methodology

October 19, 2020 | Court Rulings, IRS Regulation, Valuations

Grieve v. Commissioner In a gift tax dispute, the U.S. Tax Court recently found for the taxpayer when it rejected the unusual reasoning and methodology the Internal Revenue Service’s trial expert proposed to keep low the discounts applicable to the nonvoting membership units in two limited liability companies (LLCs). Nonmarketable, noncontrolling interest In late 2013,  Continue Reading »


Frequently Asked Questions About Federal Taxes and Marijuana Businesses

October 12, 2020 | IRS Regulation, Tax Planning

This past Friday marked the opening of Maine’s recreational marijuana market, which allows licensed retailers in the state to legally sell cannabis and cannabis products. While marijuana businesses in Maine may be in compliance with state laws, the federal government considers them to be engaging in an illegal activity. This can create some unique tax  Continue Reading »


Indiana and South Carolina Courts Issue Key Discount Rulings

October 5, 2020 | Court Rulings, Valuations

The Indiana Court of Appeals and the South Carolina Supreme Court recently issued noteworthy rulings on the appropriateness of discounts in valuing minority interests. The contexts in which the issue arose were different, but, in both cases, there was a compelled sale and designated buyer. Hartman v. BigInch Fabricators & Construction Holding Co., Inc. In  Continue Reading »


What Divorcing Homeowners Need to Know

September 28, 2020 | Divorce Litigation, Exemptions, Financial Planning, Tax Planning

The COVID-19 pandemic has impacted nearly every facet of life — including our relationships. Some reports indicated the stress of the crisis, combined with people’s close and constant contact with their spouse might be to blame for some recent divorces. A divorce is a stressful and complicated issue. The emotional toll it takes can oftentimes  Continue Reading »