valuation - The S Corporation Association

S Corp News Clips

Family Business Valuation under Attack?

In a development that could harm valuations of S corporations and other family-owned businesses, the Treasury Department appears poised to issue guidance limiting discounts under section 2704. Such action has been hinted at for a while, but people began to pay real attention following comments from Catherine Hughes, head of Estate and Gift Tax Attorney-Advisor at Treasury, before the ABA’s Estate Planning breakfast back in April.

It’s not exactly clear what the Treasury has in mind, but Hughes referred the ABA audience to proposals the Administration included in their annual budget offerings prior to 2014. We …

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admin2019-02-01T19:59:05+00:00June 12, 2015|

Courts Overvalue S Corps

For over 15 years, the IRS has discriminated against S Corporations when it comes to estate taxes and other matters where business valuation plays a role and, for 15 years, S Corp has been fighting them on it.

Our S-Corp advisor Nancy Fannon has written extensively on the subject. In 2007, we told you about her book, The Comprehensive Guide to S Corporation Valuation, which did a great job of laying out the entire issue.

Now, Nancy has followed up with Taxes and Value: The Ongoing Research and Analysis Relating to the S Corporation Valuation Puzzle. You can purchase the book …

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admin2019-02-01T19:59:05+00:00May 14, 2015|

Death Tax Compromise Talks in Senate

At the Finance Committee markup last week on the Agriculture bill, Senator Jon Kyl (R-AZ) offered an amendment to make permanent changes to the estate tax.

The Kyl amendment would have created a new framework for future estate tax levies with a $5 million unified exemption (per spouse) and a two-tiered rate system: capital gains rates for estates up to $25 million and 30 percent rates for estates above $25 million.

In exchange for Senator Kyl withdrawing his amendment, Finance Committee Chairman Senator Max Baucus (D-MT) promised to hold hearings on the estate tax later this year followed by a markup of …

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admin2019-02-06T18:44:37+00:00October 11, 2007|