FBAR Filing: When is it Required?
One common refrain from taxpayers who hold foreign accounts and learn of the need to file an FBAR (FinCEN Report 114) years after the account was opened is that they never knew the FBAR existed. Their initial knowledge can come from many sources: a newspaper report, an online article, an offhand question…
Interesting Developments Concerning Income Taxation of Resident and Nonresident Trusts
The Pennsylvania Department of Revenue recently changed its instructions for filing of an income tax return for trusts and estates. While many people are aware that an individual must file Form 1040, a trust or estate will typically file IRS Form 1041. On the state level, corollary returns are prepared for…
Deadline Approaches for Local Real Property Tax Appeals
Local real property taxes in New Jersey are assessed according to value. A municipal assessor makes his or her determination of real property value as of each October 1. The tax assessor must notify each taxpayer of the current assessment and preceding year’s taxes by mail prior to February 1st…
Glenn A. Henkel Receives Distinguished Service Award
K&D shareholder, Glenn A. Henkel is this year’s award recipient of the Dorothy G. Black Distinguished Service Award, an award given by the New Jersey State Bar Association (NJSBA), Real Property Trust and Estate Law Section. This award recognizes distinguished service to the Trust and Estate part of the Real Property, Trust…
IRS Disagrees with Tax Court on Partner Excluding Debt Cancellation Income
The IRS has recently announced a non-acquiescence in four Tax Court cases involving the cancellation of partnership indebtedness. Generally, the discharge of indebtedness gives rise to gross income to the obligor. However, Code Section 108 provides a number of exceptions. Section 108(a)(1)(A) provides an exclusion if the cancellation of indebtedness…
NJ Opportunity to Compete Act Affects Job Applications
On March 1, 2015 New Jersey’s Opportunity to Compete Act (the “Act”) will take effect. In essence the law restricts employers with 15 or more employees from inquiring, either verbally or in writing (e.g. employment application) about a potential employee’s criminal record. However, this restriction applies only during the initial employment application…
IRS Issues Relief from Repair Regulations and Form 3115 Filing Requirement for Small Taxpayers (Rev. Proc. 2015-20)
On Friday, February 13, 2015, the IRS released an advance version of Rev. Proc. 2015-20, 2015-5 I.R.B. 450, that allows a “small business taxpayer” to make certain tangible property and dispositions changes in methods of accounting with an I.R.C. § 481(a) adjustment that takes into account only amounts paid or incurred,…
K&D Sponsors Philadelphia Estate Planning Council Ethics forum
Kulzer & DiPadova is a proud sponsor of this year’s Philadelphia Estate Planning Council Annual Ethics Forum. Hosted at the Union League, the program will take place on April 22, 2015. Attracting many estate planning professionals, this meeting is an annual meeting to focus on Ethical dilemmas that arise in…
Notice 2015-9: Penalty Relief for Excess APTC Payments
On January 26, 2015, the IRS released an advance copy of Notice 2015-9, 2015-6 I.R.B. 1, which provides certain penalty relief for taxpayers who have a balance due on their 2014 income tax return as a result of reconciling advance payments of the premium tax credit (as allowed for coverage under a…
Bross Trucking Inc. v. Commissioner of Internal Revenue
T.C. MEMO 2014-107 (2014). Bross Trucking is a fascinating case from an estate planning perspective because it presents facts that occur frequently in the representation of family businesses and the planning issues confronting the entrepreneur. In estate planning for families, advisors often encounter circumstances where the family business is growing, either…