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A Primer on the Tax Implications of Settlements and Judgments

In Uncategorized by Jason FreemanLeave a Comment

Your client just settled—or better yet, won a judgment.  What are the tax consequences?  Admittedly, the tax impact of resolving a dispute is often little more than an afterthought.  But a client’s net after-tax recovery can vary drastically depending on the applicable tax rules.  An attorney armed with an understanding of the relevant tax issues has an advantage over opposing …

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Taxes and Bankruptcy: IRS-Prepared Substitute Returns

In Uncategorized by Zach SmithLeave a Comment

A taxpayer filing for bankruptcy with unfiled tax returns faces potential pitfalls. In order to ensure that a debtor’s federal tax liability is discharged in the bankruptcy, the potential bankruptcy debtor must know and comply with the requirements of the circuit where the debtor will file their bankruptcy petition. The recent case of In re Forrester demonstrates several of the …

Major Changes are in Store for the Partnership Audit Rules

In Partnership Tax, Uncategorized by Jason FreemanLeave a Comment

The partnership audit rules are in for a major overhaul. The recently-enacted Bipartisan Budget Act of 2015 (BBA) is replacing the existing partnership audit framework with a new regime. The new rules, however, are not immediately mandatory—they will generally apply “to returns filed for partnership taxable years beginning after Dec. 31, 2017.” So, for many partnerships, now is the time …