This post updates and rehashes my earlier post on the 2011 Offshore Voluntary Disclosure “Initiative.” The initiative is now a “Program” with no stated deadline. As of this date, the IRS has not yet published the official guidelines for the program other than to inform us that the OVDP penalty for failure to disclose offshore accounts … Continue reading Should I Participate in The Offshore Voluntary Disclosure Program (OVDP)?
I fielded a series of California LLC questions yesterday that I am sure come up quite frequently for people beginning new ventures and selecting an appropriate California entity for that venture. How is the California Franchise Tax Calculated? California LLCs are subject to a $800 annual LLC tax. The annual tax is due on … Continue reading California LLC Tax and Franchise Fee
If entire value or consideration of what the transfer tax is being applied to is: More than $100 but less than or equal to $250,000, the tax rate is $2.50 for each $500 or portion thereof; More than $250 but less than $1,000,000, the tax rate is $3.40 for each $500 or portion thereof; $1,000,000 … Continue reading What is the Transfer Tax Rate for the City and County of San Francisco?
This is a brief estate and gift tax update for 2012 . (UPDATED) For an estate of any decedent dying during calendar year 2012, the basic exclusion from estate tax amount is $5,120,000, up from $5,000,000 for calendar year 2011 and the estate tax rate will be 35%. The lifetime gift tax exemption … Continue reading Brief Estate and Gift Tax 2012 Update
I’d have to reach to really tie this photo from NASA of glacial ice calving offshore into the IRS’s “offshore” disclosure program. Posts are more interesting with photos included, so let’s avoid the awkward analogy and move on to the program! It looks like the IRS found success with its 2009 and 2011 voluntary disclosure programs and … Continue reading IRS Offshore Voluntary Disclosure Program Reopens for 2012
McDermott Bill: “Making the Estate Tax Fair and Equitable Again” For Immediate Release: November 17, 2011 WASHINGTON, DC – Today, Congressman Jim McDermott (D-WA), a senior member of the House Ways and Means Committee, introduced the “Sensible Estate Tax Act of 2011” to restore fairness to the estate tax. It is the first estate tax reform … Continue reading McDermott's "Sensible Estate Tax Act of 2011"
Assets Subject to California Probate Following a death, you may find yourself looking for guidance about how to deal with all of the “stuff,” all of the estate assets. Sometimes it is easy to deal with the small things. Your daughter gets dad’s guitar and your son gets dad’s carved mahogany bar, done and done. But who … Continue reading Assets Subject to California Probate
There’s a new 1099 reporting form that looks like it may have a big impact by capturing unreported income earned by small businesses., Form 1099-K, Merchant Card and Third Party Network Payments. The form is the result of compliance reporting requirements for some credit card and PayPal payments. By requiring compliance reporting by credit card companies … Continue reading New Credit Card Reporting Requirement Will Impact Small Businesses
There is still time to participate in VCI 2, but you need to act now! It takes time to assemble the disclosure package so please do not wait until you’re donning your Halloween outfit to get started. Franchise Tax Board News Release: Last Chance to Apply for Tax Amnesty Program Sacramento — The Franchise Tax Board (FTB) … Continue reading Last Chance to Apply for Tax Amnesty Program – Oct. 31, 2011
Moving your business offshore to avoid US tax exposure is an option, but doing so comes with significant risks, including increased scrutiny by the IRS and their interest in your offshore profits. IRS Auditing How Google Shifted Profits By Jesse Drucker The U.S. Internal Revenue Service is auditing how Google Inc. (GOOG)avoided federal income taxes by shifting profit into … Continue reading The IRS is Interested in Google's Offshore Profits